Orascom Telecom has posted a nine months net profit of $345.3 million, or 37 cents per share, down from $1.3 billion or $1.56 per share in the year-ago period. Mobilink was one of the major losers as it earned $378.9 million in consolidated EBITDA, a loss of 5% from $398.3 million in the year-ago quarter.
As for the third quarter, net income was$90.4 million, down from approximately $116 million for the same quarter of last year.
Mobilink’s consolidated revenues, however, averaged around $934.6 million, an increase from $921.5 million in the year-ago quarter. Average revenue per user (ARPU) declined to $2.8 for the third quarter from $3.5 for the same period last year. The company spent $406 million for the first nine months of 2008, up from $353 million in the same period of last year. Similarly, the company’s market share dropped to 34.8%, it was 36.4% last year.
Mobilink is certainly feeling the heat of the telecom slowdown and fierce competition. The subscription growth rate is also quite minimal – less than 3 million users joined the network in a 12-months period with current subscription standing at 31.4 million while thousands also opted out, thanks to number portability.
The company, though trying to lure customers with different schemes and packages, has failed to expand its customers base. As the recent telecom data suggests, Zong and Telenor are leading in terms of new subscriptions with Ufone trailing behind. Mobilink is simply out of the picture.
If the company fails to embark on an aggressive campaign of ‘retaining’ the customers, it’ll be unable to lure some new ones as well. Come up with some new strategies, Mobilink guys – before it’s too late.