Etisalat Group (now known as e&), has announced that its consolidated net profit for FY2021 rose to AED9.3 billion ($2.53 billion), thus registering a 3.2% year-on-year growth, while its revenues for the 12-month period increased by 3.2% to hit AED53.3 billion ($14.5 billion).

 

Announcing its consolidated financial results for the full year ending December 31, 2021, the Emirati telco group said its consolidated ebitda amounted to AED26.7 billion, representing a year-on-year increase of 1% and resulting in ebitda margin of 50%.

 

During 2021, the Etisalat UAE subscriber base reached 12.7 million subscribers, while aggregated subscriber base reached 159 million, representing a year over year increase of 3.0%.

 

Impressed with the results, the company's board of directors have proposed a dividend of AED0.4 per share for H2 2021, representing a total dividend for FY2021 of AED 0.8 per share.

 

The key highlights of e& for 2021 included:

 

*Increased foreign ownership limit in share capital from 20% to 49%

*Increased ownership stake in Maroc Telecom Group from 48.4% to 53.0%

*e& (Etisalat Group) was recognised by Brand Finance as the world’s strongest telecom brand, the first in the Middle East and Africa (MEA) region to achieve this recognition

*ESG rating was upgraded from BBB to A by MSCI Global Index, reflecting continued efforts in sustainability

*Credit ratings by agencies S&P Global and Moody’s affirmed the Group’s high credit rating at AA-/Aa3 with a stable outlook

*Successfully completed a bonds issuance worth one billion Euros to refinance the maturing Euro bond tranche

 

Across its footprint, the Emirati telco group had shown strong financial performance compared with the prior year, despite persistent challenges in the markets in which it operates, including the measures introduced and overall recovery rates for the Covid-19 pandemic. 

 

The UAE ranks as number 1 on the Bloomberg Covid-19 Resilience Ranking. e& delivered strong financial performance across its major metrics, driven by international operations as well as steady improvements in domestic operations.

 

Commenting on the results, Chairman Jassem Mohamed Bu Ataba Alzaabi said: "In 2021 e& celebrated multiple milestones, witnessed historical achievements, and saw strong financial performance, all of which are setting us up for an even brighter digital future."

 

"The digital revolution spurred by the pandemic does not show signs of slowing down. In fact, telecom operators were faced with two choices: stay still and offer the same services or innovate to ensure business continuity and more importantly, achieve growth. We will continue to rise to the challenge and innovate at every opportunity presented to us because we firmly believe that we can make a difference in the lives of millions in a time of accelerated digitalisation, and we are ready to meet the demands of the future with confidence, resilience, and agility," he stated.

 

CEO Hatem Dowidar said: "This has been an exceptional year during which we have witnessed robust financial performance and business growth across our operations. I am particularly proud of our performance set against the backdrop of another challenging year as we continued to navigate through the effects of the Covid-19 pandemic."

 

"Our domestic and international operations delivered a strong performance over the course of the year as a result of our continuous focus on maintaining growth," he added.

 

As part of its strategy, e& said it will enhance customers experiences across all segments by ideating, designing, and delivering a range of innovative and breakthrough technologies, driven by its track record of success.

 

This strategy is aimed at accelerating growth through the creation of a resilient business model that is built on key pillars representing the group’s main business sectors, it stated.

 

Telecom will maintain the previous branding identity while upholding the group’s rich telecoms heritage, bolstering its strong telecoms network and maximising value for its customer segments, in the UAE and internationally.

 

Ramping up the digital services for individual customers in order to elevate their digital-first lifestyle, e& life will bring next-generation technologies through smart connectivity platforms in entertainment, retail, mobility services and financial technology.

 

According to e&, the enterprise focuses on maximising value through its end-to-end solutions in cybersecurity, cloud, Internet of Things (IoT) and Artificial Intelligence (AI), as well as deploying mega projects.

 

e& capital will allow the Group to focus our efforts on driving new mergers and acquisitions while maximising shareholder value and strengthening global presence.

 

On future outlook, Ataba Alzaabi said: "With organisations and individuals fundamentally changing the way they conduct business; we are determined to stay agile and fit for the future. Our work is essential in bridging the gap between the telecom industry and what our customers need in the digital space."

 

"Looking ahead to 2022, we remain well-positioned to continually create innovative propositions so that our customers, businesses and communities feel cared for," he added.