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UPDATE 1-Bahrain's Batelco Q3 net profit falls 16 pct

Tue, 10th Nov 2015 11:39

* Q3 profit 13.4 mln dinars vs 16 mln dinars a yr ago

* Q3 revenue 93.9 mln dinars vs 97.3 mln dinars a yr ago (Adds details)

By Matt Smith

DUBAI, Nov 10 (Reuters) - Bahrain Telecommunications Co (Batelco) reported a 16 percent fall in third-quarterprofit on Tuesday on declining revenue and losses from someoverseas operations.

The former monopoly, which operates in 14 countries, made anet profit of 13.4 million dinars ($35.53 million) in the threemonths to June 30, versus 16 million dinars a year earlier, itsaid in a statement.

SICO Bahrain had forecast Batelco would make a quarterlyprofit of 13.6 million dinars.

Batelco made a net profit of 40.9 million dinars in thefirst nine months of 2015, the statement said, which was thesame amount as a year earlier.

Third-quarter revenue fell to 93.9 million dinars from 97.3million dinars, mirroring a 4 percent drop in nine-month revenueto 279.6 million dinars which the company said was due to"competitive pressures in key markets".

In Bahrain, Batelco vies with units of Kuwait's Zain and Saudi Telecom Co as well as about 10Internet providers and this competition prompted thestate-backed operator to expand abroad further.

Batelco's purchase of most of the islands division of Cable& Wireless in April 2013 has helped steady its earnings,with its overseas operations accounting for 58 percent ofrevenue in the first nine months of 2015.

The operator's Bahrain mobile subscriber base rose 10percent year-on-year, helping its nine-month domestic profitincrease 11 percent to 30.96 million dinars.

Profits from Jordan, Maldives and Guernsey, Jersey and Isleof Man also increased, but its "other countries" segment - whichincludes Yemen, Kuwait and Egypt - swung to a nine-month loss of5.89 million dinars versus a profit of 1.08 million dinars ayear earlier.

($1 = 0.3771 Bahraini dinars) (Reporting by Matt Smith, editing by David Evans)

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