Omantel profit up 12.9% due to cost cutting

Dubai: Oman Tele-communications Co (Omantel) yesterday reported a 12.9 per cent rise in first-quarter net profit, in line with analysts' forecasts, as the former monopoly reduced expenses to offset flat revenue growth.

Omantel, majority-owned by the government, made a net profit of 29.1 million riyals (Dh277.6 million) in the three months to March 31, up from 25.8 million riyals in the year-earlier period, it said in a bourse statement.

Analysts polled by Reuters on average forecast Omantel would make a quarterly profit of 29.2 million riyals.

Quarterly revenue was 111.1 million riyals, nearly flat to the 111.5 million riyals revenue for the corresponding period of 2011.