TE posts 36% drop in Q1 profit
Telecom Egypt, the country’s fixed-line monopoly operator, has said its first-quarter net income dropped 36%, saying business was hit by the weak economy, Reuters has reported. The company, which is 80% owned by the government, said its net profit fell to EGP549m ($77.82m), while revenues dropped 5.6% from a year earlier to EGP2.564bn. The drop in revenues was “mainly driven by a decline in wholesale services,” due to slower international traffic resulting from depressed tourism and business activity, said CEO Mohamed Elnawawy. The firm hopes to have a unified telecoms licence operational by the third quarter of this year, which would enable it to offer mobile services directly and boost revenue.