Aug 19, 2009

* Qtel sees '09 profit, EBITDA, revs better than guidance

* Keen on controlling stake in Morocco's Meditel

* Says investing $800 mln in '09 on Indonesia network

By John Irish

DUBAI, Aug 19 (Reuters) - Mobile phone operator Qatar Telecommunications Co QTEL.QA expects full-year profits to exceed its expectations and will grow organically and through acquisitions in 2009, but ruled out moving into sub-Saharan Africa.

In an interview with Reuters on Wednesday, chief executive Nasser Marafih also said the group, which operates in 17 countries including Indonesia, Iraq and Algeria, was in the "middle of evaluating" a bid for a stake in Meditel, Morocco's second largest telecoms company.

"We don't revise our guidance ... yes I think we will do better than the guidance."

The former monopoly forecast in March that net income in 2009 would rise between 9 and 11 percent from 2.27 billion riyals ($623.4 million) last year, adding that earnings before interest, tax, depreciation and amortisation (EBIDTA) could rise 18 to 20 percent and revenue in a range of 20 to 22 percent.

Qtel said on Aug 16 quarterly profits jumped 59 percent, buoyed by a one-time gain at its Kuwaiti unit National Mobile Telecommunications (NMTC.KW) (Wataniya).

Marafih said the group saw Algeria, Iraq, Kuwait and Indonesia as key markets to boost earnings in 2009 and was pressing ahead with broadband expansion into Pakistan and the Philippines, where it hoped to begin operations by year-end.

"We are revamping Indosat (ISAT.JK) and it will take some time for us and believe Indonesia will be one of the main contributors for us going forward."

Qtel owns a controlling stake in Indonesia's second largest mobile phone operator in terms of market share, which contributes about 26 percent to its revenues. It is investing $800 million to improve its network in the world's most populous Muslim nation, Marafih said.

"This is critical for our growth this year and next year," he said. "We know we will go through major dips, but believe it will improve in the coming quarters."

FOCUS ON MIDEAST, ASIA

Faced by intensifying competition in their home markets, Gulf Arab telecom firms have been expanding abroad, snapping up assets in Asia and Africa worth billions of dollars.

reuters