Al Mal sees Etisalat revenue falling 9.9% on UAE population decline

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Etisalat, the UAE's biggest telecommunication company, may see revenue drop 9.9% in the third quarter after the country's population declined, reported Bloomberg, citing an Al Mal Capital note.

Revenue at Etisalat is forecasted to fall to AED6.87 billion (US$1.87 billion), Al Mal said in a note today.

Revenue in the previous quarter was AED7.62 billion, acoording to Bloomberg data. The number of mobile subscribers probably declined 0.7% during the quarter, Al Mal said.

“The top line will also be impacted by the seasonal effects of summer (lower tourism), Ramadan and less business travel due to the current economic climate,” Dubai-based Irfan Ellam wrote.

Dubai’s population is forecast to shrink 8% this year, UBS AG said.END