Saudi’s Mobily to reissue 2014, Q1 2015 results after regulator probe
Mobily said it would reissue its financial statements for the year 2014 and the first quarter of 2015 before releasing its second-quarter results
Saudi Arabia’s Etihad Etisalat (Mobily) said on Sunday that accounting changes would increase its 2014 loss by about 830 million riyals ($221 million) to 1.745 billion riyals.
The company made the statement after a team appointed by the Capital Market Authority identified concerns over Mobily’s contracts with customers, including those for fibre networks. The team recommended that the company reconsider its accounting approach for the contracts.
Mobily said it would reissue its financial statements for the year 2014 and the first quarter of 2015 before releasing its second-quarter results.
It said that in addition to increasing its 2014 loss, the changes were expected to reduce the company’s first-quarter 2015 loss by about 207 million riyals, leading to a profit of 8 million riyals for the quarter.
The board has decided to increase provisions related to “Zain account receivables” by 800 million riyals in the second quarter of 2015, the company added without elaborating.
Also Read
-
UAE Etisalat says profit cut by $44 mln due to Mobily earnings debacle
The impact of this is to reduce Etisalat’s post-tax profit by 130 million dirhams for 2013 and by 32 million dirhams Telecoms -
Saudi’s Mobily suspends CEO after earnings debacle: statement
The company's decision, follows errors in Mobily's accounting that led the company to restate 18 months of previously-announced earnings Telecoms -
Saudi firms tighten controls in wake of Mobily scandal
Regulators are signalling they want corporate managements to tighten governance and strengthen internal controls Telecoms -
Saudi Arabia regulator suspends trade in Mobily shares
The Capital Market Authority did not provide any more information in its statement. Mobily had not yet started trading for the day Telecoms -
Saudi telco Mobily in $560mln deal to buy gear from Ericsson, NSN
The agreements have a tenor of 10 years and will be used over an 18-month period Telecoms
