VENTURES AFRICA – Orascom Telecom (OT), one of the largest and most diversified network operators in the Middle East, Africa, and beyond, is expected to post a first-quarter net profit of $45 million on Monday, following a net loss in the fourth quarter of 2011 when it was weighed down by currency losses and impairment charges, according to analysts.
According to CI Capital’s Amr EL Alfy, the Egypt-based company, which has operations in Algeria, Pakistan, Bangladesh and Canada, should post a profit for the quarter in the absence of major currency effects, along with flat revenue quarter-on-quarter and a slight improvement in EBITDA (earnings before interest, tax, depreciation and amortisation) margin.
Orascom Telecom’s net income attributable to equity holders soared in the first quarter of 2011 to $813 million from $49 million in the same period of 2010 after it accounted for gains from the sale of a stake in its Tunisian unit, Reuters reports.
Orascom also posted a net loss of $83 million before minority interests in the fourth quarter of 2011 due to impairment charges and complications with the Bank of Algeria.
In April 2011, Russia’s Vimpelcom acquired Orascom Telecom’s parent company from Egypt’s Sawiris family.
The results are due on after the close of stock market trading today.