Etihad Atheeb’s Q4 loss on nonrecurring provisions, turnaround strategy ready: CEO

Yahya Al-Mansour, CEO of Etihad Atheeb Telecom Co.

Etihad Atheeb Telecom Co.’s (GO) Q4 FY 2020/2021 losses were driven by higher nonrecurring provisions to hedge against impairment losses in properties, equipment and other Zakat and income tax provisions, Chief Executive Officer (CEO) Yahya Al-Mansour told Argaam.

Al-Mansour indicated a “positive outlook” for the coming period on the company’s turnaround strategy, which has started to boost financial results and revenue through the development of services and product portfolios.

“We are developing competitive services and products, in line with the client requirements in business and retail segments,” he added.

The contribution of broadband and voice services stood at 88.3% and 11.7%, respectively, to Etihad Atheeb’s total revenue.

Commenting on the measures planned as accumulated losses reached 51% of share capital, Al-Mansour reinforced Etihad Atheeb’s commitment to the applicable regulations of the Capital Market Authority (CMA), adding that any capital-related corporate actions will be unveiled later.

Etihad Atheeb narrowed losses to SAR 38.3 million for the fiscal year ended on March 2021, from SAR 71.6 million in the year-earlier period. The firm reported Q4 losses of SAR 140.8 million, data compiled by Argaam showed.