Zain Group, the pioneer of mobile telecommunications in eight countries in the Middle East and North Africa, generated consolidated revenues of $4.58 billion (KD1.28 billion) for the 12 months ending Dec. 31, 2012 compared to 2011 consolidated revenues of $4.79 billion (KD1.32 billion). EBITDA for the same period amounted to $2.04 billion (KD570.7 million) reflecting an EBITDA margin of 44.5 percent. Net income amounted to $902 million (KD252.1 million), compared to 2011 net income of $1.033 billion (KD284.9 million). Earnings per share for the 12 months stood at $0.23 (KD0.065), compared to $0.27 (KD0.073) in the previous year. Additionally, shareholders equity stood at $6.1 billion (KD1.7 billion). Subsequently, the Board of Directors recommended a cash dividend of $0.18 (KD0.050) per share subject to the annual general assembly and regulatory approvals. Zain Group's consolidated customer base grew by 6 percent and stood at 42.714 million active customers across all operations at the end of 2012. The Group added 2.451 million new active customers over the past 12 months. Commenting on the full-year results, the Chairman of the Board of Directors of Zain Group, Asaad Al Banwan, said "2012 has been a challenging year and Zain's financial indicators suffered from sharp currency translation impact in some of the markets in which we operate, which cost Zain's bottom line approximately $109 million." "In 2012, the Group's key financial indicators were relatively stable. Without the effects of the currency translation impact, consolidated revenues would have been $4.88 billion (KD1.4 billion), while EBITDA would have been $2.15 billion (KD601.7 million), and net profits $1 billion (KD282.6 million)," he added. Zain Group continued to adhere to its policy of reducing administrative, operational and finance costs during 2012, helping the company lower its overall costs during the year through effective streamlining and efficiency drives. Zain Group CEO Scott Gegenheimer said "our Kuwait operation achieved a technological breakthrough in 2012 when it became the first operator in Kuwait to launch a nationwide LTE network." Gegenheimer added "Zain KSA successfully completed its rights issue with a full subscription during the summer; a development that formed part of a wider plan to restructure the company's capital. Zain Group continued to back its Saudi Arabia operation both administratively and financially, having taken the strategic decision to increase its ownership in Zain KSA to 37 percent in the wake of the company's rights issue." — SG
