Omani Qatari Telecommunications Company SAOG (ORDS) Earnings Call Transcript & Summary

[Foreign Language] Hello, and welcome, everyone. This is Ahmed Al Khuzairi, Ooredoo Oman Investor Relations. We would like to thank you all for joining us today to discuss our results for Q3 2023. In the today course of discussion, I'm pleased to welcome our CEO, Mr. Bassam Al-Ibrahim; and Mr. Nasser Al Yaarubi, our acting CFO. Before we start the presentation, I would like to take you through Slide #2 about some necessary disclaimer points. In today course of discussion, we may discuss about some forward-looking statements. And in the future, we are not committed to keep the same views as our -- if the market fundamentals or any conditions change, we will notify you through the channels, either by MSX or our own channels. The discussion today will be in 2 parts. The first part is about the company performance. And the second part is about the financial side of the business. So to start, I will hand it now to Bassam.

So welcome, everybody. Hello and thank you for being with us here today for our Q3 performance updates. Very quickly, I'll go through some of the key factors and key points, and then I'll hand over to the CFO, Nasser Al Yaarubi sitting next to me. So throughout the year, you've been with us, you've been on this journey with us going through the multiple actions that we are taking to regain or to strengthen the market as a major player in the telecom market here in Oman. As you can see in front of you, we have -- of course, we have seen there's a lot of competition in the market. We are fighting back competition in the market is becoming a lot more aggressive but based on that, we also have a lot of action plans that will take us into the end of the year and, of course, into the next year. Slight decline in our revenue as a whole. You can see this minus 2% from OMR 197 million to OMR 193 million. Likewise, there is a slight decline in our EBITDA from OMR 103 million to OMR 92 million. and total, of course, coming out to a decline in our net profit. On the opposite side, of course, is that yes, there is a revenue decline in EBITDA, but our customer base has also increased. So we have seen a postpaid increase in our customers about 15,000 customer base has increased, jumped from OMR 2.7 million, a 4.4% increase. Our devices and ICT business is continuing to grow and doing very well in this aspect almost a 44% increase in that aspect. Prepaid, of course, has one of our -- has been one of our major drivers and benefits to the organization. It was one of our key business aspects and a lot of good revenue is coming from this. Of course, the situation has been that we have been declining in the prepaid base. And based on that, lower ARPU is coming now from the current prepaid base that we're facing. And the same thing is happening in our fixed -- and a little poor part of our wholesale. When it comes to prepaid, the ARPU has declined by about OMR 5 million. And likewise for the fix, the ARPU has declined by 4.4%. And of course, we have our national roaming that is slowly starting to decline as Vodafone starts to carve out. We move over to the next slide. Looking here, you can see the total Oman market share -- Oman mobile market share as a whole. You can clearly see that throughout the last couple of quarters, there's been a slight decline when it comes to our customer base. But if we look at it as a whole, from Ooredoo customer base, there is an increase. As I mentioned before, we have seen an uplift of customer base with regards to our mobile specifically in postpaid. And there is a slight uplift, of course, also in our fixed, very small minor, but it's still affected and so forth. And based on that, our customer base has increased by 6.3%. You can see between Q2 and Q3, there's been a slight drop. Reason being for that is that there's been an internal cleanup activity that the team is doing to make sure that as we go into Q4 and of course, into next year, we are in a clean slate and it's a lot more clearer for us from a commercial perspective, from a financial perspective as well. We move over to the next slide. This sort of gives you a bit more detail on our customer base. The customer base has increased, as you can see here, both from our prepaid and postpaid but the lower ARPU is the effect that we were looking at before. If we look from the Q3 2022 to Q3 2023, we've increased by 6.6%, almost an 8.2% increase in our prepaid and almost a 2.1% increase in our postpaid. So the customer base is increasing. There's a lot of aggressive actions that we are taking place to make sure that this continues. And we're also trying to work on a situation where we are revamping our products so that we can give better quality, better value proposition to the customer. But of course, trying to increase that by bringing up the prices as well. So this is one of our key factors that I want to do. If you look at the MBB and HBB factors that we're looking at here, this is purely from an HBB perspective, HBB has increased by 2,000 customers, also part of our program to increase the base in that area. It's improved by almost 0.9%. We'll move over to the next slide, please. 5G in our digitalization journey is moving ahead as we have as part of our plans, the 5G mobile coverage so far is at 71%. And when we speak by coverage, we're talking about customer base here. By the end of the Q3, our total 5G sites will be in excess of 1,863 and we continue, of course, to push and thrive and being the leader when it comes to providing certifications from our 5G. So all of the operator -- all of the device manufacturers that you see before you are 5G certified. So therefore, all of the customer base that have these products can utilize 5G services that we are providing to the customers. And we will continue to do this with a different companies as we proceed. 5G as a strategy for us has been very strong, very tough, and we continue to take it into the new year as being a driver for our business as well. Moving over to the next slide. Likewise, we have a strategy when it comes to the fixed. As you can clearly see in front of you here, our 4G HBB household population is at 87.8%. And likewise, and 5G or the FWA coverage is at 77%. We continue to boost this as part of our strategy, of course, it's part of our strategy to capture new markets within the country by providing the customers with a very quick solution, which is fixed wireless access. And of course, improving that situation with a fixed, if possible in certain areas. Our 5G has been upgraded. We are now looking at access speeds of about 1 GB for fixed wireless access. This is one of the leaders in market with regards to Ooredoo Oman, but also in the region of providing speeds as the one presented for you. As I mentioned earlier, our 5G sites stand at 1,863 and of course, as part of our strategy, we continue to roll more 5G sites to improve the quality, improve the coverage. And we continue to push and work with OBB to expand our FTTH services throughout the country to make sure that we provide the ultimate services and give the customer the opportunity to choose whatever he wants and make sure that Ooredoo present in those areas. That's a quick overview of our performance but that's not all based on the performance that you see in front of us. This is being recognized internationally as you can clearly see some of the awards that we have won in the past period. We recently received and some of the ones you can see here are most innovative company when it comes to CSR initiatives, best digital transformation, one of the fastest and most advanced when it comes to digital transformation. And I'm not speaking only in Ooredoo, not only in Oman, but even within the Ooredoo Group, most outstanding company for the year given to us as well and many of the other operations just cements the fact that majority of the initiatives or actually all of the initiatives are coming to fruition, and we are being recognized internationally for the efforts that we are making when it comes to the telecom sector here in Oman. And with that, I'd like to thank everyone for listening to me for the presentation that I gave. We're going to go into the financials. Now I'll hand over to Nasser Al Yaarubi, our CFO. Thank you.

Thanks a lot, Bassam. So I'll throw some light actually on our quarter 3 performance. We saw actually the year-to-date performance presented by our CEO, Bassam. So zooming in, it's actually the Q3 performance, we saw revenue declining by around 7.1%. It's worth mentioning that actually Q3 2022 was having actually a favorable adjustments of around OMR 2 million that's related to wholesale. And that's why actually the quarter 3 revenue gap looks on the higher side compared to the year-to-date. On the postpaid we've witnessed actually a growth. We managed at around OMR 200,000, and it has grown to 21.4% growth of around 1%. The prepaid -- the ARPU implication and also the migration also of the good customers supposed to ensure that actually they are sticking with us, also impacted the prepaid revenue where we see a reduction of around OMR 1.6 million. On the fixed and wholesale, the price wars that has have been in the fixed and the competition impacted actually our fixed revenue, we saw a drop by around OMR 1 million in the fixed. And on the wholesale, as mentioned by Bassam, that actually as Vodafone continued to roll out their own network, there is a drop in the revenue. It's also just reminding you that actually wholesale includes OMR 2 million favorable adjustments in quarter 3 2022 and this OMR 2 million related to first half of the year. Of course, there is also an increase in the revenue in the devices and ICT, which continue to do better than some other services. On the next slide, when it comes actually to the expenses, network interconnection and other operating expenses. It has increased by around 6% or around OMR 1.4 million, and the increase in the cost is linked to the revenue mix or the changes in revenue mix associated with the higher sales of devices and ICT. Besides this also last year includes also some favorable adjustments of around OMR 0.5 million related to regulatory expenses. That was one-off in quarter 3 2022. Next slide. On the capital expenditure, we continue to invest on our digital capabilities, our 5G networks and also data centers and expedite actually that investments, that's why there is an increase by around OMR 2 million compared to the same period last year. So when it comes actually to the profit before tax, we saw a drop by around OMR 2.9 million that translates to around 53% and the OMR 2.9 million. That's an absolute number is less than the gap that we saw in the EBITDA, since actually the lower revenue and the higher expenses was partially offset by lower depreciation as well as actually lower financing costs we had in this period. When it comes actually to the cash from operating activities or net cash from operating activities, it was impacted also by the lower income in the first 9 months of the year compared to the same period last month. So the lower profit has impacted actually the cash from operation. We saw also actually also working capital unfavorable movement due to clearing out our payables. And the CapEx I mentioned previously that we continue to invest in strengthening our capabilities when it comes actually to 5G data centers and, of course, digital capabilities. On the net debt, it's worth mentioning that actually our balance sheet is still very healthy, where we are actually funding our activities, mainly from operating activities, we are bridging the need to buy facilities or revolving credit facilities. We have actually a small portion of long-term loan of around OMR 0.3 million that's taken by our subsidiary, D2C. And we do have actually an RCF that's being utilized by around OMR 34 million. We do have available unutilized facilities that's sufficient for our cash requirements for the remainder of the period. Now I would like actually to hand over back to our CEO to give a final summary of the actual market perspective at all.

Thank you, Nasser, for the financial overview. So as I mentioned earlier, in a nutshell and just giving you a conclusion of the entire presentation, the total market has grown by 6.6%. Our revenue is lower, mainly due, as mentioned by myself and by the CFO, is coming from our prepaid, our fixed revenue. But this is offset, as I mentioned earlier, by our ICT revenue that's being pushed extensively, and we're gaining a lot of traction in that space and likewise from higher device sales. From a commercial operational perspective, we will continue and are committed to differentiating in our products that we deliver to the customer, making sure that it's a seamless omnichannel experience, a one-stop shop for them to be able to experience our services and give them the ease to obtain these services wherever and whenever they want. We are committed, of course, to providing the customers with exceptional customer service and, of course, providing our shareholders with the right investment that they have invested in. Cost efficiency program is already in place. Nasser and the team are very aggressive when it comes to that. As part of this, the offset of that is the decline in gross margin, and it's associated by the fact that there's a revenue mix change that we discussed earlier because of the products that we are selling. And of course, for next year and, of course, until the end of this year, we continue to drive our rollout plans to become extremely aggressive to provide coverage in the country in its entirety, providing the services that we discussed both in the 2G, 3G, 4G and 5G space, specifically in the 5G space to show that the services are of the highest quality towards the customer.

Thank you, Bassam and Nasser. And now we will open the question-and-answer session. [Operator Instructions] Yes, we have a question coming from the line of Joice.

We are seeing a sequential decline in your postpaid numbers. So there is a net decline of almost 15,000 postpaid customers going out of Ooredoo. So how do you see this trend even though you're seeing a Y-o-Y increase, but probably this year, if you are going by this trend, there will be a decline. So what are the reasons? And how are you planning to address this issue.

Thanks, Joice. You are talking actually about the customer base or the financials?

I'm talking about the customer base from 750,000 at the beginning of the year, the postpaid customer numbers have come down to 730,000.

Yes. Yes, you are right. Actually, if you compare it, I guess, the quarter 1, yes, we see actually a decrease in the customer base. We've done actually a massive cleanup exercise to ensure that actually, we do have a strong, healthy customer base. We have a lot of kind of dormant customers or customers that are not contributing sufficiently or bad customers. You're probably also seen the -- our control when it comes actually to the bad debt and the provision bad debt we reviewed our business rules and actually, we ensure that we have a healthy customer base that's growing. So if you exclude that, our customer base is growing from that perspective.

Just to add on to this point, also Joice what is the plan to improve the situation. We have put in plans until the end of the year to regain our space within the postpaid and prepaid, of course. But as clearly mentioned in the beginning, it's become a very aggressive market. We also have very aggressive plans for next year, not only from a technology perspective to make sure that there is network coverage in these areas. We're also targeting customers by giving them a proper value. So it's not about price, it's about giving the customer the right product with the right value so that it feels like I'm paying the right price for this specific product. This is the forthcoming plans that we have going into '24 .

Okay. The next question that I have is on the provisioning side. I know you're approaching up expenses. It has -- I'm seeing there is a significant improvement in this quarter probably because of the cleanup which you have done, already mentioned. But still, we are talking about almost 3.2% of the total revenue is coming as provisioning expenses. I'm talking about the postpaid revenue. So what has contributed to this improvement? And how do you see the provisioning expenses going forward maybe in the coming quarters?

Yes. When it comes actually to the controls or to the control measures we are having in Bliss to control the bad debt provision and improve that area. It's obviously paying off, and we see it actually in the form of reduction. We do have optimistic targets and challenging targets to control this and reduce it to the lowest possible level possible. And we are actually doing a lot of analysis and a lot of controls not only at a total level, but we do review the business rules, and we do review also the quality of customers from various channels, various nationalities, various regions and ensure that we implement the best measures and the best practices when it comes actually to having a strong healthy base that contributes positively and add value to the shareholders.

So from a modeling perspective, where should we look at it because from 1.1 million per quarter over the last 2 quarters to 730,000 in this quarter. It has been a remarkable improvement. So do you expect this trend to continue? And what could be a normalized number where you would also be comfortable?

It will continue. Probably it will not as what we call this in terms of reduction as fast as we saw now. But we are -- yes, we are actually aiming towards reducing this further and further. And I'll come back also to the percentage that actually you are taking the percentage should be also not only the postpaid, you need also to take it for fixed, for also wholesale as well as devices, which by doing so, you will see that actually, the percentage is low. And from that -- from even a benchmark perspective, the bad debt is at very healthy ratios compared to regional benchmarks that we are having in our hands.

Okay. The last question that I have is, is there any update that is worth sharing on the tower sale?

This is a still pending topic. We have no further information based on what we gave last year besides the fact that it's already happened from a group perspective. But with regards to here in Oman, we're still in the process of discussions with potential buyers.

Okay. But what I understand is this is particularly the group sales strategy is different from Oman strategy. Is that right? Or are we...

Almost align, but it's different because of the fact that it's -- we would like to take care of it here locally.

And we have a question coming from Abbas.

Just a follow-up on Joice's question regarding the tower. You've already answered in terms of what the update is. Can you tell us how many towers do you guys have? And do you have reason to believe that your towers are worth almost similar to what Omantel sort of values the towers? I mean, what's your sort of view on -- how do you look at it per tower basis?

The total sites that we have at the moment is around 2,848 sites -- physical sites. And if we -- of course, we're not at the same level as Omantel. Omantel has a lot more sites than us. So you would have to look at it site-to-site perspective, how is the sites -- how are the sites actually fitted out from a technology perspective? What kind of configurations they have on these sites? So I couldn't necessarily tell you whether like-for-like, they are on the same price range. So we have presented a price or we have a price aspect when it comes to our towers based on our configuration and we believe, and based on the advisers that we have, that we are pricing this at the correct benchmark prices.

Sure. I appreciate that. And my second question is, I was going through the market share data, and it seems Vodafone has taken market share from you guys. I mean I know it's a very dynamic sort of chart to look at new valid customers, your competitors have added customers as well. But if I really take a step back and look at it, it seems Vodafone has taken market share at your expense. Could you just give us in terms of how do you see this? And how else would you read these numbers? Am I taking a very simplistic view of this?

And my answer will be simplistic also. As a new entrant into the market, Vodafone has come in. And then as always, and I have seen this in other markets, I've had the experience of seeing this even on Qatar. As a new entrant, specifically Vodafone, they will be aggressive. It will be extremely aggressive in trying to capture market share. And usually, even their targets are looking at customer base, not necessarily even at revenue. So they will start pushing as much as possible and being aggressive on the products that they deliver. Sometimes these products are not necessarily revenue positive, just to ensure that you get the customer base. Standard, and if you look at it in a majority of the markets, the stealing usually comes from the second player in the market, who is us so we have seen that they have stolen from us, but they have also stolen from Omantel by the way. Omantel is not also left alone. They have stolen from Omantel. So we are looking now and as part of our strategy to stop this drive by providing the customer with better customer experience, either providing the customer with better coverage, by providing them with the latest technologies that we discussed earlier, rolling out further 5G sites in very rural in dense areas to make sure the experience is much better. So our differentiating factor here will be value, our differentiating will be here experience. And this is how we will regain our customer base again.

Right. And if you reflect on value and customer base and you sort of look at the ARPU trends in the market and everyone suffer in terms of ARPUs, of course, declining over a period of time. Do you think that has bottomed out. And you bring a unique experience, unique viewpoint to this because you work in markets where there were 2 incumbents under the third player come in. So from your perspective, how do you see this evolving over the next couple of years?

I think there will be a correction that will come at some point. The growth will slow down from the third player. He will capture a certain segment and then differentiation is on the topics I mentioned earlier. So on the value that we give to the customer, it's the quality that we give to the customer. It's the experience when he comes into our shops. How does this customer feel when he feels -- when he hears Ooredoo, how does he feel when he's entering our stores. And this is a differentiation factor that we want to give -- we want to be a premium product that people feel that I'm taking care of. This is a differentiating factor that we have. And this is how we're going to drive and capture more market share moving forward. It will slowly start to stagnate. And as you mentioned, based on my experience, I have seen it happen over the next couple -- over -- usually happening in the second to 2.5, 2.5 years within the entrants of the market. So the third entrant has been 2 years in the market so far. So we see that there could potentially be sort of stagnation happening towards mid of next year. Regardless of that, we don't really care. Our strategy is to move forward aggressive, be strong and continue with our plans to regain our customer base.

And Mr. Bassam, if you allow me one last question. A lot of the analyst community is, of course, focused on the tower sale, right? I mean the kind of view we have is the company -- the sector is suffering tower sale is one way to sort of have this cash available for the business. Having said that, this cash is not free, right? At the end of the day, these towers are integrated to you providing telecom services in the country. So you'll have to rent these towers back. So effectively, when you look at your strategy of going asset-light, how would you sort of pitch it to the investor community saying, "Hey, we are talking about getting the right sort of bucked -- getting the right price for my towers." But it's not free cash that's available for distribution, right? I mean how should we look at this, a tower sale in a more strategic concept? Because you're going to pay rent for these towers, effectively you're taking on debt, right?

A very valid question. But at this point in time, we have not even reached that point to even get into it. We are at the point of investigating whether this is right thing for us to do. We're looking at potential individuals that will come in and give us the right price for it so that we can make sure that even down the line, this doesn't affect us negatively. So it has to be the right price, it has to be at something that is beneficial to the organization. And if it is not, then it's something that we will need to discuss as a company. But as of now, we haven't even reached that phase yet. So we're still at a very 50,000, 60,000 feet before we get into the kind of detail of how positive because we see it as a positive situation or if there's any cost related to that?

Okay. And do you have like a finish line inside because this conversation has been going on for a bit. I know it's a large strategic asset. You're talking big numbers here. But is it distracting for you on every call you have to come and answer the same question, do you have like a finish line and saying if I don't get the right price, maybe I don't sell my tower. Do you have that sort of viewpoint in mind that 6 months down the line, it's off the table.

Because we like the investors so much and your questions. We keep it on the ballot so that you ask me the question. Otherwise, you may not ask me any questions. This is like a buying selling situation. It can happen, it can be finalized tomorrow. It can be finalized in a few months. It can be -- take 6 months. It all depends on the negotiations that we have with the potential buyers. I wish I would love to give you a time line because also it would be a time line that I will use for myself. But unfortunately, at this time, it's a back-and-forth discussion that we're having with the potential buyers.

Okay. And -- I mean, I kind of -- I lied when I said my last question, just a follow-up, is there a particular reason, a good strategic reason why Omani Ooredoo assets were left out of the sort of regional deal that you add? I mean, just to understand what really happened. Why is Oman following a separate trajectory when it comes to tower sale versus the rest of the group?

Yes. He will take it, Bassam,but, Abbas please because we have on the pipeline some questions.

I promise. Yes. I will mute myself after this. Yes.

It was a strategic discussion that we've had with the group, group organization. We believe that it would be more beneficial for us to have it local. They aligned and agreed to this. And based on that, it is a win-win for everyone. It's a excellent work process for the team that have worked on this. They've gained a lot of experience going through this as well. But at the same time, if it's a Omani owned, it should be Managed Omani, and that's the reason why we're having it here.

Now we're going to move to [ Saeed ].

[Foreign Language] I do have 2 questions. The first question is, can you provide us any growth in terms of postpaid subscriber? And second question, what is the revenue outlook for the fourth quarter?

I'm not sure actually I got your question -- the first question. Are you talking actually about the bad debt provision?

No, about the postpaid subscription.

So, postpaid subscription In terms of revenue or in terms of number of customers?

Both. On both please. Revenue and customers.

Yes. Okay. Okay. Actually, it was presented in one of the slides, Ahmed. The number of customers, the customers, okay? Where you can clearly see basically the number of postpaid customers. It was around 715,000, and this is, of course, includes some M2M customers. And now it's actually growing to 730,000 customers. This is actually from a customers' perspective. And from revenue, Also, there is also another slide in the quarterly. We showed that actually how much revenue we are making from Postpaid in Slide #12. Where we've added around OMR 200,000 in this quarter compared to the same period in 2022.

Yes. But where do you see this number going for the fourth quarter?

You mean actually the projection. We always actually driving not only postpaid but all sorts of other business streams and revenue streams to improve and to increase.

Okay. Makes sense. And what is the revenue outlook for the fourth quarter? Do you think it will be increasing like positive more than this quarter? Or where do you see it? What's your view on this?

As I said, that actually, we are doing a lot of work when it comes actually to boosting our customer base and as mentioned by Bassam in terms of actually offering the customers the best experience, differentiating ourselves through the -- providing the best value to the customers. And there are a lot of work when it comes actually to regionalization and also reaching the best customer base and improving the width of our customer base as well as actually improving the depth and the value our share of wallet, if you want to call it. And based on this, we do expect actually our revenue to grow. Yet, of course, there are a lot of challenges when it comes actually to the market. You know that actually, it's very crowded with a lot of price wars that are actually happening from time to time. And we are trying actually to contain all those headwinds with whatever efforts that we are doing to grow but the plan and the strategy and the target is very optimistic, and we are working very hard to achieve those growth targets.

We have a question also from [indiscernible].

So I just wanted to understand the market share split up a bit more granular. So wanted to know Vodafone is gaining both on the prepaid and postpaid market share in a similar fashion? Or are they focusing more on a particular segment?

Not really. I mean in the beginning, they launched -- when they first came into the market, they had their prepaid product as any new entrant, they did this in other markets as well. They come in with their prepaid product. They capture market share and they start moving the prepaid customer over to postpaid. And that's the reason for delay as they build this within their network. So as a standard entrant into the market, their strategy is like any other. It's not something new. We've seen it before as part of the Ooredoo Group. They are not focusing on anything specific. They're just looking at any other operators longevity, which is having the stickiness of the customer by moving your high-value customers and prepaid over to postpaid. So nothing new to us that we've seen before.

Okay. So in terms of the gains that they have made, I was usually under the impression that they were focusing more on the prepaid. So I was under the impression that they were getting more from Omantel and on the postpaid subscriber side, Omantel was gaining a bit of market share from you. But looking at the graph now, it seems to me that they're gaining more from you. Is that the case? Or are they gaining equally from both Omantel and Ooredoo?

As I mentioned earlier, Vodafone's entrants or any new entrants, I don't want to say Vodafone, any new entrants into a telecom market and the 3-player market will immediately start stealing from number 2. And this is exactly what's happened here. They have stolen from Omantel, by the way, they have not -- it has not been that they haven't stolen no customers from Omantel they have. But usually, in a market like this, the majority of the customer base starts to get eaten up from your number 2. Regardless of the fact, our strategies that we have in place now will be to regain this customer base, but to regain the high-value customers, as mentioned by our CFO, trying to look at longevity when we have this customer base, giving them good value to make sure that they stay with us longer and they have a much better customer experience because that is the name of the game for us.

My last question is on the dividend outlook. So would you say that most of your investment into the 5G infrastructure would be done and more cash would be available for dividends going forward?

We are always actually trying to create the best value for our shareholders. And when it comes to dividend and probably if you have seen the dividend trend and the linkage of our dividend payout to the profitability of the organization. We will continue to ensure that we hand back good dividend to our investors. But for the time being, actually, I don't have an exact number to give it to you. That will depend, of course, on a lot of other factors, including how we will end up the year.

We have also a question from [indiscernible].

[Foreign Language] Okay. I have just -- I only have one question. In terms of how do you look at broadband market and corporate account market, what's your strategy surrounding this?

Can you just repeat the question one more time? Little slowly please, so I can hear you.

How do you look at broadband market and also corporate account market corporate like targeting the corporate employees instead of going on the retail. So what's your strategy surrounding? Are you guys looking into this? Or maybe not?

First of all, for broadband, we have a massive plan to make sure that we have broadband capabilities in all our network. So that the customer base has the opportunity to choose between broadband or fixed. We are pushing heavily to go into the 5G space to make sure that the customer is able to have the best speed and the best and the latest technology and hence forth, we are driving a lot of our 5G investment so that broadband is available in even areas that either there was congestion in those areas so that we can ease the congestion or into new areas where we want to start targeting. When it comes to B2B, we are actually exceeding in this area. We're doing very well in this space. We have a strong market share when it comes to B2B. We are striving to push to gain more corporate customers because of the products that we are selling. So we're trying to bring more customers in these specific areas. So if you look at customer base, you have your high-value customers, your government entity, so forth, we are trying to increase our space in that area but there's an aggressive push also on our SME and SoHo as well. There's a lot of companies being established as Oman as a country regains and it's coming out of the slump that happened during COVID and during the oil situation, oil price situation, there's a big push in the SME and SoHo, we see a lot of organizations taking our products and hence, the reason why we are doing very well in that space. We will continue down the strategy because we see that there will be further advancements. There's a lot of push from the government on local SMEs to grow as much as possible, and we want to be part of that growth as well.

Thank you all for your interest in Ooredoo Oman, and we would like to let you know that this presentation recording and other materials will be available on our page in ooredoo.om and wish you a good day. Thank you so much.

Thank you, everyone. Have a good day. Bye-bye.