Omantel Group – Consolidated Performance – 2025
Omantel Group revenue includes revenues from domestic operations of the parent company, revenue from Zain Group, domestic, and other international subsidiaries.
Consolidated P&L Highlights
2025 X in Mn. | 2024 X in Mn. | Change % | |
|---|---|---|---|
Revenue | 3,413.10 | 3,062.70 | 11.4 |
EBITDA* | 1,155.40 | 1044.7 | 10.6 |
Profit for the period | 371 | 197.7 | 87.7 |
Attributable to shareholders of the Company | 88.4 | 54.2 | 63.1 |
Non-controlling interest | 282.6 | 143.5 | 96.9 |
Profit for the period | 371 | 197.7 |
The Group revenue for the Year 2025 is X 3,413.1 Mn. compared to X 3,062.7 Mn. as recorded in Year 2024. The Group revenue includes acquired business of Zain Group, which contributed revenues of X 2,856.02 Mn. (2024: X 2,499.4 Mn.).
* EBITDA is defined as Operating earnings before Interest, taxes, Depreciation amortisation and Impairment and excludes non-operating items and voluntary end of service costs.
Performance and Key Operational Highlights of Zain Group
Zain Group’s consolidated revenue for the year ended 31 December 2025 reached X 2,856.02 Mn., compared to X 2,499.4 Mn. in the prior year, marking a year-on-year increase of approximately 14.3%. This robust growth was supported by broad-based performance across the Group’s operating markets, continued momentum in device and wholesale revenues, and strong demand across enterprise and digital service segments.
EBITDA for the year stood at X 974.9 Mn., compared to X 878.2 Mn. in 2024, reflecting positive top line performance and ongoing operational efficiencies contributing to margin resilience across the portfolio. Net profit reached X 354.7 Mn. in FY-2025, compared to X 200.8 Mn. in the prior year, supported by higher EBITDA .
Prior-period figures presented above have been adjusted to reflect the impact of IAS 29 Financial Reporting in Hyperinflationary Economies to ensure consistent comparability of underlying performance.
The Group’s strategic execution continued to focus on operational excellence, digital transformation, and network leadership. This included targeted investments in 5G network expansion, strengthened enterprise solutions, expansion of passive infrastructure capabilities, and ongoing initiatives to scale high-growth digital and ICT verticals.
The annual cash dividend relating to FY-2025 totaled 35 fils per share, representing a payout ratio of approximately 63%. However, the total cash dividends distributed during calendar year 2025 amounted to 60 fils per share, as this included final dividend relating to both FY-2024 and interim dividend for FY-2025.
Performance Highlights of Zain Group’s Cross-Border Portfolio:
Kuwait: Revenue increased by 4% Y-o-Y to reach USD 1.3 Bn. EBITDA increased by 3% to reach USD 452 Mn. reflecting an EBITDA margin of 36%. Net income declined by 21% to reach USD 282 Mn. primarily due to the USD 80 Mn. one-off transaction gain recognized in Q4-2024 from the step-up acquisition of IHS (Kuwait Tower Co). Excluding this prior-year gain, net income would have grown by 1% YoY. The customer base stands at 2.6 million.
Saudi Arabia: Zain KSA reported an all-time high revenue of USD 2.9 Bn., up 6% YoY. EBITDA for the year reached USD 925 Mn. reflecting an EBITDA margin of 32%. Net income reached USD 161 Mn., up 1% YoY. On a like-for-like basis, excluding the non-recurring tax and zakat provisions recorded in 2024, net income increased by 66% year-on-year. The customer base increased by 4% to reach 9.3 million.
Iraq: Zain Iraq’s revenue increased by 20% to reach USD 1.29 Bn. with EBITDA amounting to USD 473 Mn. reflecting an EBITDA margin of 37%. Net income for the year increased by 15% to reach USD 150 Mn. The operator’s customer base reached 20.9 million customers.
Sudan: Revenue increased by 92% YoY to reach USD 661 Mn. EBITDA rose by 143% to reach USD 373 Mn. reflecting an EBITDA margin of 56%. Net income reached USD 290 Mn. The customer base expanded by 22% to reach 12.3 million customers, supported by continued network restoration and commercial recovery.
Jordan: Zain Jordan revenue increased by 7% to reach USD 595 Mn. EBITDA reached USD 227 Mn. reflecting an EBITDA margin of 38%. Net income for the year reached USD 75 Mn. The customer base increased to 4.2 million customers.
Bahrain: Zain Bahrain reported revenue growth of 7% YoY to reach USD 219 Mn. EBITDA for the year amounted to USD 62 Mn. reflecting an EBITDA margin of 28%. Net income reached USD 16 Mn.
Performance of Omantel – Domestic Operations (Domestic Fixed-line, Mobile, Omantel International SPVs, and Domestic Subsidiaries/Associates)
Omantel’s domestic operations include fixed-line business, Mobile business, Omantel International (OTI)-Wholesale arm of Omantel engaged in international voice aggregation, and our subsidiaries (Oman Data Park, Infoline, Future cities, etc.).
Omantel posted a healthy 9% growth at domestic level, indicating a strong resilience towards competitive market conditions as well as the operational challenges. Revenue grew from X 622.6 Mn. in FY 2024 to X 676.1 Mn. in 2025.
Omantel continues to the market leader in the Fixed Broadband segment and posted a subscriber market share improvement from 54.4% in December 2024 to 54.9% by December 2025. In the mobility segment, Omantel continues to lead the subscriber market share and maintained it during the year at 40.1% with leadership in revenue market share. Omantel’s Prepaid subscriber base (including resellers) declined by 2.5% in a fiercely competitive market however Omantel managed to mitigate the revenue impact through successfully capturing Postpaid segment.
Domestic Revenue for the Financial Year Ended 31 December
2025 X in Mn. | 2024 X in Mn. | |
|---|---|---|
Fixed-line business | 170.3 | 163.4 |
ICT and Emerging Tech (net of eliminations) | 46.6 | 29.8 |
Mobile business | 186.7 | 187.2 |
Wholesale business | 213.1 | 192.9 |
Device revenue | 59.4 | 49.3 |
Total Revenue - Omantel + Subsidiaries | 676.1 | 622.6 |
Growth % | 8.6% | 2.7% |
For the year 2025, Revenue increased to X 676.1 Mn., an increase of 8.6%. The increase was mainly driven by higher Telco revenues of X 36.7 Mn, supported by improved performance across key segments, with Fixed revenues increasing by 4.2% and Device revenues by 20.5%.
Wholesale business posted revenue growth of 10.5% mainly due to growth in international transit voice and roaming segments. While maintaining the existing wholesale business the future growth in Wholesale business will predominantly come from Zain Omantel International which is the vehicle through which the investments in Wholesale business will continue from Omantel and Zain group.
EBITDA and Net Profitability (Excluding Zain Group):
Omantel’s EBITDA stands stable at X 180.4 Mn. in 2025 compared to X 180.3 Mn. as recorded in 2024.
Net Profit attributable to Shareholders of the Company for the year 2025 stands at X 65.2 Mn. compared to X 69.7 Mn. in 2024. Decline in net profit is attributed to a 12% increase in depreciation and amortisation resulting from Omantel’s continued investment in network expansion, digital and AI infrastructure, and enhancement in customer experience.
Financial Position – Domestic
Overall assets depict a strong financial position, at the backdrop of both organic (network infrastructure) and cross border (Zain Group) investments. Omantel’s Non-Current Assets, principally telecom equipment, investments and facilities currently account for 84% of overall asset base.
Shareholders’ equity posted a growth of 7% during 2025. The shareholders’ equity increased from X 790 Mn. in 2024 to X 846 Mn. in 2025.
Revenue and Subscribers – Domestic Operations
Fixed-line Business
Fixed-line Business includes national and international fixed-line voice, fixed broadband, dedicated internet and enterprise data services. Fixed-line revenue grew by 4.8% on the back of an increase in ARPU and a growing subscriber base.
Mobile Business
In the mobile market in spite of a high level of competition, Omantel continued to register a healthy growth in mobile revenue which registered a growth of 4.1% (including handset sales) supported by growth in postpaid subscriber base (increase of 18%, including M2M) and a 2% growth in reseller’s subscribers.
Operating Costs (including cost of sales)
Total Operating expenses (Including Cost of sales) amounted to X 617.3 Mn. in 2025, an increase of 9.3% over FY 2024. Increase in Operating expenses is driven by increase in Cost of sales (12% YoY), Operating and admin costs (6% YoY), Depreciation and amortisation (12%).
Increase in cost of sales is in line with increase in revenue from transit voice revenue, handset sales, fixed broadband revenue and ICT solutions revenue.
Increase in Operating and admin costs in 2025 is on account of costs attributed to increase in IT and associated costs.
However, Omantel’s continuous focus on cost optimisation has ensured the controllable opex to remain within the targeted levels.
As a percentage of total revenue, Omantel’s domestic Opex to revenue ratio remained 91.3% in 2025 compared to 90.7% as recorded in 2024.
Financial year ended 31 December | 2025 X Mn. | 2024 X Mn. |
|---|---|---|
Cost of sales | 322.7 | 288.8 |
Operating and Administrative Expenditure | 171.1 | 160.9 |
Depreciation and Amortisation | 121.6 | 108.9 |
Provision for Impairment of Receivables | 1.9 | 5.7 |
Total Operating Expenditure | 617.3 | 564.4 |
Capital Expenditure
Omantel incurred a total capex of X 129.3 Mn. during the year, predominantly spent on 5G rollout and expanding Omantel’s digital and AI infrastructure. We continue prioritising our network and other capital expenditure during the year, with core focus on undertaking growth oriented critical investments, that support our 5G network buildout, ICT and digitisation initiatives etc.
Earnings Per Share and Dividends
Omantel Group maintains a healthy shareholder relationship with a history of consistent dividend distribution through years.
Earnings per Share (EPS) for the year ended 31 December 2025 is 118 Baiza, up from 71 Baiza (restated) as of 31 December 2024.
For FY 2025, the Group has recommended a final dividend of 55 baiza /share, which corresponds to 55% of the paid-up capital and a payout ratio of 47%.
Free cash flows posted a 37% growth compared with the cash flows generated in 2024.
Normalised Free cash flows (excluding adding interim dividend from Zain group of X 29.8 Mn.) showed a growth of 2.2% on account of stable cash flows from operations and improved collections on prior year enterprise receivables.
Credit Rating
Omantel has reached a significant milestone by achieving Investment Grade status from one of the major credit rating agencies. This shift follows the upgrade of Oman’s sovereign rating, reflecting the company’s strong domestic market share and disciplined financial management.
Omantel currently holds a Corporate Family Rating (CFR) of Ba1 from Moody’s and BBB- from Fitch Ratings, both with a stable outlook. These investment-grade ratings underscore the company’s robust intrinsic profile, leading market position, strong financial liquidity, and stable, recurring dividend income from Zain.
Despite operational challenges, Omantel’s credit ratings have remained resilient. The Company continues to prioritise cost optimisation, service diversification, enhancement of customer experience, and the adoption of emerging technologies.
Out investment grade ratings serve as a strong endorsement of Omantel’s forward-looking strategies, reinforcing its position as a key player in the telecommunications sector. This recognition reflects the company’s strategic execution, resilience, and commitment to maintaining a competitive edge in the market.
Internal Control Systems
Omantel maintains effective internal control systems and processes that provide reasonable assurance of efficient operations, internal financial control and compliance with laws and regulations. Internal controls comprise of operational procedures, segregation of duties, periodic reconciliations and formal policies and procedures that facilitate complete, accurate and timely processing and recording of transactions and safeguarding of assets.
The Management receives independent feedback from the reports issued by Internal Audit of the Group, Statutory Auditors and the State Audit Institution on the adequacy of internal controls and continues to strengthen internal control. Also, as part of the internal control, the Company has a defined authority manual and processes, which are followed across the organisation. Internal controls are generally adequate for established activities and services. Internal controls are periodically tested, reviewed and enhanced.