Ooredoo (ORDS) Q2 2025 earnings summary

Executive summary

• Achieved strong H1 2025 results with 4% net profit growth year-on-year, a 43% EBITDA margin, and double-digit growth in Algeria, with high single-digit growth in Iraq and Tunisia.

• Strategic focus on digital infrastructure, including the Syntys data center spin-off, AI cloud services, and subsea cable projects, positions the group for long-term growth.

• Maintained a strong balance sheet with QAR 14.8 billion in cash reserves, leverage at 0.7x, and investment-grade ratings.

• Strategic initiatives included closing the Qatar towers deal, launching Syntys, and expanding fintech in Oman and Tunisia.

• Revenue for the six-month period ended 30 June 2025 reached QR 11,913.7 million, up from QR 11,796.5 million year-over-year.

Financial highlights

• Group revenue (excluding Myanmar exit) rose 4% year-on-year to QAR 11.9 billion in H1; Q2 revenue up 5% year-on-year.

• EBITDA (excluding Myanmar exit) increased 3% year-on-year to QAR 5.1 billion, with a 43% margin.

• Net profit attributable to shareholders up 4% to QAR 1.9 billion, including a QAR 112 million Pillar 2 tax impact and a gain from Myanmar disposal.

• Free cash flow declined 11% year-on-year to QAR 3.6 billion due to higher CapEx.

• Customer base grew 4% to 52 million (147 million including IOH Indonesia).

Outlook and guidance

• Revenue expected to maintain current trajectory, targeting 2–3% growth for FY 2025.

• EBITDA margin guidance remains in the low 40s; CapEx guidance for the year is QAR 4.5–5 billion.

• The Group continues to monitor legislative developments, especially regarding Pillar II tax rules, and expects ongoing impact on effective tax rates.