Saturday 18 September 2021

Jassem Mohamed Alzaabi and Hatem Dowidar

Etisalat reports $1.28bn consolidated net profit for H1

ABU DHABI, July 29, 2021

UAE-based Etisalat Group has reported a consolidated net profit after Federal Royalty of AED4.7 billion ($1.28 billion) for the first-half (H1) of the year, representing a year over year (YoY) increase of 3.9% and resulting in a net profit margin of 18%.

Consolidated revenues amounted to AED26.4 billion representing YoY increase of 3.2 percent, while consolidated EBITDA reached AED13.4 billion resulting in EBITDA margin of 51%.

In the UAE the subscriber base reached 12.1 million subscribers in H1 of 2020, while the aggregate subscriber base reached 156.1 million, representing a year over year increase of 7%.

Other highlights:

•    Board approval of interim dividend for H1 2021 of 40fils per share.
•    Credit Ratings agencies S&P Global and Moodys affirmed Etisalat Group’s high credit rating at AA-/Aa3 with stable outlook.
•    Etisalat successfully completed a bonds issuance worth one billion Euros to refinance the maturing Euro bond tranche.
•    Etisalat crowned strongest brand in the MEA region across all categories.  
•    Etisalat recognised as world’s fastest mobile network by Ookla.
•    Etisalat forays into 6G-the next generation of the mobile network by conducting research and developing international standards.
•    Etisalat expands its SmartHub footprint with a third location opening in Kalba complete with a state-of-art Tier 3 data centre facility.
•    Etisalat launched the region’s first online Mobile Service Centre, offering real-time visibility and control over business customers’ mobile usage.
•    Etisalat collaborated with Smart Dubai to provide cyber security services to Dubai government entities.
•    Etisalat joins programme led by Khalifa Fund for Small &Medium Enterprise Development.
•    Etisalat Misr completed the first VoLTE call using Virtual IMS technology.
•    Etisalat Misr signed an agreement with Canal Sugar Company, the first of its kind in the agricultural sector to digitally transform their financial transactions.
•    PTCL starts transformation of its IP Edge & Optical Transport Network.
•    UAE Trade Connect (UTC)’s digital trade platform went live with seven banks.
•    E-Vision launched the Television Audience Measurement (TAM) to identify viewership trends from eLife TV.
•    Digital Financial Services partnered with Lulu Group International and Al Futtaim to enable secure and contactless payments.
•    Etisalat partnered with Aruba to offer managed wi-fi and networking solutions.
•    Etisalat collaborated with Cisco to simplify Emirates Internet Exchange (EMIX) operations by building the region’s first open and autonomous and secured network.
•    Etisalat launched the Smiles’ food order and delivery service in the UAE.
•    Smiles partnered with Mohammed Bin Rashid Al Maktoum Global Initiatives (MBRGI) to support the global ‘100 Million Meals’ humanitarian campaign.
•    As part of its commitment to support and empower People of Determination Etisalat partnered with Ministry of Community Development to launch a web extension to make accessing the web autistic friendly.

Jassem Mohamed Alzaabi, Chairman of Etisalat Group, said: “Etisalat continued to demonstrate strong performance showcasing growth across its operations for the first half of the year, thanks to our continuous efforts and focus on our vision of driving the digital future with a strong commitment towards the societies we serve and adding value to our shareholders.”

“We are confident that Etisalat Group will maintain its leadership position in the telecom industry while remaining focused on our core business and exploring new growth opportunities ensuring that we are well geared for the future with all our digital capabilities and solutions.

“I would like to thank UAE’s wise leadership for their continuous support to the telecom sector and the Etisalat Group’s management team in making the digital vision a reality by staying focused on the company’s long-term strategy to drive stakeholder value. Thanks to both our shareholders and loyal customers for inspiring us to set new global benchmarks and reach new business heights,” he added.

Hatem Dowidar, CEO, Etisalat Group, said: “Etisalat Group’s strong results in the first half of 2021 is an outcome of our sincere efforts to drive growth and generate efficiencies, with an unwavering commitment to key strategic priorities to enable a digital future and drive digital innovation across our operations. Despite the challenges in our key markets, our businesses delivered growth in revenue, net profit and operating free cashflow.”

“We are proud that Etisalat Group was a key contributor to positioning the UAE as the fastest mobile network in the world and among the top fixed broadband networks globally, meeting the ICT aspirations of the country’s leadership.

“With our success in deploying 5G as well as taking the global lead in fibre penetration, we ensured that our networks are future-ready for the next generation of mobile networks and technologies. As we look ahead with confidence, we will focus on expanding our capabilities, maintaining industry leadership to achieve our long-term goals of enriching customer lives and empowering governments, businesses and societies across our footprint.

“Etisalat remains grateful to the wise leadership of the UAE, thankful to our customers and shareholders for their constant encouragement, and to our employees who are the cornerstone of our success. We will remain focused on investments in futuristic solutions and next-generation technologies, enhancing the overall customer experience while delivering long-term value for all our shareholders,” he added. – TradeArabia News Service


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