Omantel, the Sultanate’s integrated telecommunications provider, recently hosted its annual investor meeting, revealing a strategic pivot from a traditional telecom operator to a diversified digital technology group. The event, themed “Beyond Telecommunications: Showcasing Omantel’s Future Growth Engines,” drew leading regional investment funds managing over US$100 billion in assets, signaling strong investor confidence in the company’s new direction.
A Financial Snapshot of Growth
Ghassan bin Khamis Al Hashar, Chief Financial Officer of Omantel, provided a comprehensive overview of the Group’s robust financial health. He highlighted that Omantel’s revenues, bolstered by contributions from Zain Group, saw an annual growth rate of 6.3% between 2022 and 2024. Despite increased local market competition, Omantel’s domestic operations maintained profitability, with a 4.9% annual profit growth and sustained EBITDA margins of 35% in 2024.
Al Hashar emphasized that disciplined capital allocation and operational efficiency would remain cornerstones of Omantel’s strategy moving forward.
Strategic Pillars for a Digital Future
Omantel outlined its key investment priorities aimed at cementing its role as a catalyst for Oman’s digital economy. The company is accelerating the deployment of its 5G infrastructure, expanding its sovereign cloud capabilities through partnerships with AWS and Huawei, and strategically leveraging artificial intelligence. These initiatives are part of a long-term goal to capture 25% of the local ICT market share by 2030.
Pioneering projects like the establishment of an Artificial Intelligence Center and an Arabic Natural Language Processing (NLP) Studio further position Omantel at the forefront of AI adoption in the region.
Powering the Ecosystem Through Subsidiaries
A panel discussion showcased the significant contributions of Omantel’s subsidiaries, which are crucial to its diversified growth strategy:
- Oman Data Park: The Sultanate’s largest data center operator, providing sovereign cloud, cybersecurity, and AI-as-a-service solutions.
- Zain Omantel International (ZOI): A joint venture with Zain Group that has achieved an impressive 172% year-on-year revenue growth. ZOI serves global giants like Meta, Google, and AWS and operates a vast 120,000 km submarine cable system.
- OMPAY: A fintech platform aiming to become a central hub for digital payments and transfers in the region.
- Tadoom: A digital innovation company focused on smart cities and IoT, connecting over 800,000 devices and achieving a 117% CAGR over the last three years.
- Infoline: A leading ICT service provider specializing in systems integration, enterprise solutions, and customer experience enhancement.
Aligning with Oman’s Vision 2040
Omantel’s strategic transformation is closely aligned with the national objectives of Oman Vision 2040. The company is actively supporting the Sultanate’s green transition by delivering ICT-enabled solutions that promote sustainability.
“Omantel is proud to serve as a catalyst for Oman’s digital transformation and green economy,” said Al Hashar. “We are grateful for the trust of the investor community and remain committed to transparent engagement through strategic updates and dialogue.”
About Omantel
Omantel is the Sultanate of Oman’s first and leading integrated telecommunications services provider. The company is driving the digital transformation of the country by offering a comprehensive range of advanced communication solutions and services for individuals, businesses, and government entities. Through strategic investments and a diversified portfolio of subsidiaries, Omantel is expanding beyond traditional telecommunications to become a regional leader in ICT, cloud services, fintech, and AI.
Source: Zawya
