Zain Bahrain FY21 profit rises 3.1%, recommends dividend

TDT | Manama

The Daily Tribune – www.newsofbahrain.com

Zain Bahrain yesterday reported profits for the fourth quarter and full-year 2021, which the company attributed to “significant infrastructure and state of the art technology investments during the year, which drove an expansion in its offerings to customers.”

Zain Bahrain also recommended distributing annual dividends to shareholders representing 8% of the company’s paid-up capital, equivalent to 8 fils per share, subject to the Annual General Meeting approval.

Q4 results

Fourth-quarter net profit was BD 1.185 million, compared to BD 1.699 m for the same period in the previous year, a difference of 30%. Earnings per share fell to 3 fils from 5 fils.

Revenue, meanwhile, stood at BD 16.765 m, representing a 6.5% increase from BD 15.739 m.

Operating profit for the three months reached BD 1.403 m, down 27.5% from BD 1.926 m in Q4 2020.

Full-year results

The company reported a 3.1% increase in net profits to BD 5.572 m for the year ended 31 December 2021, up from BD 5.405 in the previous year.

Earnings per share held steady at 15 fils with revenues amounting to BD 64.784 m, a 4.5% jump from BD 61.992 m in 2020.

Operating profits, meanwhile, saw a 1.7% rise to BD 6.45 m, compared to BD 6.34 m.

Zain Bahrain said it became the first operator to provide enhanced mobile and broadband network connectivity in newly developed housing areas, including Salman Town, Khalifa City, and Ramli, as well as newly developed neighbourhoods in Hidd and Lawzi.

“All these investments are expected to accelerate sales significantly in the coming months and years, further increasing Zain Bahrain’s competitiveness in the market,” Zain said.

Zain Bahrain Chairman, Shaikh Ahmed bin Ali Al Khalifa said, “Our 2021 results benefited from market-leading mobile and broadband solutions for individual, small business, and enterprise clients which could not have been possible without these long-term investments.”

“We were the first network provider to reach customers in several newly developing housing areas in Bahrain, offering high connectivity speeds, whilst continuing to provide home broadband customers free access to essential services such as online learning and affordable work-from-home options.”

“Even as we continue to deal with the uncertainty of the pandemic, our revenues and customer base have continued to grow with demand for communications services remaining at an all-time high.”

Shaikh Ahmed said:

“Investing in the nation’s youth remains one of our priorities.

We saw record participation in our three Zain Youth Empowerment Programmes, which are designed to equip young Bahrainis with the skills to succeed professionally in a rapidly changing jobs market”.

“We also continued to support Bahra’s vibrant startup ecosystem.”

Shaikh Ahmed added:

“Our focus for the coming year will be on a comprehensive strategy to enable and drive digital transformation across Bahrain, supported by our commitment to product innovation, network expansion, customer service, and operational efficiencies.”