Etisalat reports Dh4.7 billion net profit in H1 2021

Dubai - Despite the challenges in key markets, businesses delivered growth in revenue, net profit and operating free cashflow.

E tisalat Group announced on Thursday a 3.9 per cent year-on-year jump in first-half consolidated net profit to Dh4.7 billion after federal royalty, resulting in a net profit margin of 18 per cent.

The group’s consolidated revenues during the first six months amounted to rose 3.2 per cent y-o-y to Dh26.4 billion as its subscriber base reached 12.1 million subscribers, while the aggregate subscriber base reached 156.1 million, representing a y-o-y increase of 7.0 per cent, the telecom giant said in a statement.

The group’s consolidated Ebitda (earnings before interest, tax, depreciation and amortisation) reached Dh13.4 billion resulting in a margin of 51 per cent. The board approved interim dividend for H1 2021 of 40 fils per share.

Jassem Mohamed Alzaabi, chairman of Etisalat Group, said he is confident that the group would maintain its leadership position in the telecom industry while remaining focused on its core business and exploring new growth opportunities.

“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,” Alzaabi said.

Hatem Dowidar, CEO, Etisalat Group, said the group’s strong results in the first half of 2021 is an outcome of its 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 cash-flow.” Dowidar said 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.”

Dowidar said Etisalat would focus on expanding its capabilities, maintaining industry leadership to achieve long-term goals of enriching customer lives and empowering governments, businesses and societies across our footprint.

“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,” said Dowidar.

In the first half, Etisalat successfully completed a bonds issuance worth one billion Euros to refinance the maturing Euro bond tranche. It also is making forays into 6G-the next generation of the mobile network by conducting research and developing international standards.

Other achievements include expanding its SmartHub footprint with a third location opening in Kalba complete with a state-of-art Tier 3 data centre facility. The telecom also launched the region’s first online Mobile Service Centre, offering real-time visibility and control over business customers’ mobile usage and collaborated with Smart Dubai to provide cyber security services to Dubai government entities.

— issacjohn@khaleejtimes.com