UAE’s e& reports consolidated revenue of Dhs13bn in Q1 2023

UAE-based telecoms giant e& announced its consolidated financial results for Q1 2023, reporting consolidated revenues touched Dhs13bn.

At constant exchange rates, the group’s revenue grew by 6.6 per cent.

Consolidated net profit recorded Dhs2.2bn while consolidated earnings before interest, taxes, depreciation and amortisation (EBITDA) reached Dhs6.2bn, resulting in an EBITDA margin of 48 per cent.

In the UAE, etisalat by e& recorded 13.9 million subscribers an increase of 6 per cent compared to the same period last year.

The group’s aggregate subscribers reached 164 million, a YoY increase of 3 per cent.

e&: Focused on driving business growth

The group’s focus on expanding its digital offering and launching innovative new solutions and partnerships with leading technology companies around the world as part of its drive to become a global technology player has driven business growth.

Today we announced our Q1 2023 #FinancialResults, with consolidated revenue of AED 13.0 billion, up 6.6% YoY, and net profit of AED 2.2 billion. We’re expanding our digital offerings and partnerships to drive growth and accelerate digital transformation.#eAnd #EtisalatAndMore pic.twitter.com/USZZyYXQV9

— e& (@etisalatAnd) May 2, 2023

Hatem Dowidar, group CEO, e&, said: “The group’s performance in the first quarter indicates growth in the number of subscribers, revenues, and profits in local currencies, but was impacted by the strong fluctuations in the currency exchange rate within the Egyptian and Pakistani markets.

“This growth can be attributed to the group’s flexibility and efforts to provide innovative business solutions and the latest technologies to the communities we serve. Furthermore, the group has succeeded in building unique digital experiences supported by strategic investments, to enhance our business portfolio.

“etisalat by e& Egypt and PTCL in Pakistan successfully achieved their strategic goals by enhancing their customers’ digital experience while achieving growth based on local currency revenues, the strong fluctuations in the exchange rates of the Egyptian pound and the Pakistani rupee, coupled with the unprecedentedly high inflation rates in the two markets, have negatively impacted revenues and profits reported in dirhams. As a result, these effects were evident in the group’s consolidated results.”

Recent highlights

In April, the e& Group signed a binding agreement with Uber Technologies to acquire a 50.03 per cent stake in Careem Super App, in a deal valued at $400m.

Read: UAE telecoms giant e& Group acquires $400m stake in Careem Super App

Earlier in March, e& increased its stake in Vodafone to 14 per cent, as part of the company’s broader strategy to develop opportunities for commercial partnerships.

The telecoms giant e& also announced that its shareholders had approved the Board of Directors’ recommendation to distribute cash dividends for H2 2022, at a value of Dhs0.4 per share during the group’s annual general meeting (AGM).

Read: UAE’s e& approves cash dividends for H2 2022 at Dhs0.4 per share

The financial performance in Q1 2023 further strengthened e &’s global position as the most valuable telecoms brand portfolio in the Middle East and Africa, according to 2023 Brand Finance.