Dubai: Emirates Integrated Telecommunications Company, or du, said on Tuesday net profit before royalty more than quadrupled to Dh194 million in the first quarter of the year compared to Dh47 million in Q1-2009.

Revenue for the quarter was Dh1,580 million, a 36 per cent increase over last year’s first quarter figures of Dh1,166 million and a 3 per cent increase compared to the fourth quarter of 2009.

Gross margin grew by 34 per cent year on year and 5 per cent quarter on quarter to Dh1,042 million.

Du added 262,000 active mobile subscribers during the quarter, taking its total to 3,739,000.

There was a 47 per cent growth in the fixed-line subscriber base from 310,900 lines in Q1-2009 to 456,700 lines in Q1-2010, with 50,900 lines added during the quarter.

“This is an encouraging start to 2010 with record revenues for the quarter and sustained profitability, supported by some significant new initiatives, including our proposed rights issue that will provide even greater impetus and acceleration behind our ongoing growth strategy, transforming du into a mature company with access to efficient future funding requirements,” said Chairman Ahmad Bin Byat.

“We look forward to capitalising on the numerous possibilities we see before us in the years ahead.”

Chief executive Osman Sultan added: “Again, we have delivered strong results this quarter, with healthy margins, in line with our accelerated but efficient growth strategy. The new products and services introduced in the quarter to retail and business customers show our commitment to value, innovation and quality, all part of the du brand proposition.

“Our position in the UAE mobile market remains strong, with a further 262,000 subscribers choosing du this quarter, bringing our total active mobile subscriber base to 3.7 million, approximately a third of the market, in just three years. Outlook for our fixed-line business, which is arguably the most developed, integrated and technically advanced in the Arab World, remains strong with the prospect of a nationwide infrastructure sharing agreement. We are also in the process of exploring opportunities in the fast growing universe of digital content and the internet through joint ventures and partnerships.”