Profit dips at Jordan Telecom 

(MENAFN - Jordan Times) Jordan Telecom Group (JTG) announced in a press release on Saturday that net profit dropped by 5.6 per cent last year to JD89.8 million compared to JD95.1 million in 2010.

According to the press statement, the decline was due to lower operating income and to a decrease in interest rates on bank deposits.

Operating expenses before depreciation and amortisation went up by 8.7 per cent to JD248.7 million by the end of December 2011 against JD228.8 million in the previous year.

Revenues increased by 2.4 per cent to JD411.8 million from JD402.1 million in 2010, JTG said in the press release which showed that the higher earnings resulted from the "good" performance of the mobile, services, including the 3G, and the wholesale segment.

Earning before interest, tax, depreciation and amortisation dropped by 5.9 per cent by the end of December 2011, reaching JD163.1 million down from JD173.3 million, according to the figures.

"The drop was a result of an increase in operating expenses by JD20 million which is compensated partially by the revenue increase and the cost optimisation initiatives adopted by the management," the JTG statement said.

Capital expenditure of JTG stood at JD36.5 million at the end of 2011, a 10.9 per cent decline when compared to JD41 million in 2010.

The subscribers base expanded by 17.7 per cent to 3.55 million from 3.02 million subscribers in 2010.

The JTG board of directors is proposing to the general assembly the distribution of JD90 million in cash dividends for 2011, at a rate of JD0.36.