Telecom Egypt announced on Tuesday that its shareholders had approved a 1.3 Egyptian pound dividend. The move is likely to keep shareholders and investors pleased after its massive profits reported from last year.
According to the firm, its 2010 net profit rose 8 percent to 3.3 billion Egyptian pounds (US$560 million).
Shares in the country’s landline company – which has a monopoly on the market – rose 3.2 percent on the Stock Market.
Analysts say that Telecom Egypt is well-suited to continue its rise in profits in the current year as the government looks to bolster infrastructure and implement new economic policies.
“We will definitely see continued success for Telecom Egypt as a result of the atmosphere that has energized the country,” said HC Securities analyst Hossam Tarik. “The push toward increasing infrastructure in Egypt is a sign that more people will be able to afford landlines and broadband Internet in their homes, which will see TE take full advantage of this move.”
By Desmond Shephard