Etisalat records Dhs4.7 billion net profit in H1

Etisalat Group consolidated revenues amounted to Dhs26.4 billion representing year-over-year (YoY) increase of 3.2 per cent while consolidated net profit after Federal Royalty amounted to Dhs 4.7 billion representing a YoY increase of 3.9 per cent and resulting in a net profit margin of 18 per cent.

The company on Thursday  announced its consolidated financial results for H1 ending June 30,  2021.

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.

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 YoY increase of 7 per cent.

Consolidated EBITDA reached Dhs13.4 billion resulting in an EBITDA margin of 51 per cent.

For his part, 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.”

DP World results: DP World Limited handled 19.7 million TEU (twenty-foot equivalent units) across its global portfolio of container terminals in the second quarter of 2021, with gross container volumes increasing by 17.6 percent year-on-year on a reported basis and 17.1 percent on a like-for-like basis .

Growth in Q2 accelerated with all regions delivering a strong performance, especially our terminals in India, Europe, Australia and Americas. Jebel Ali (UAE) handled 3.4 million TEU in 2Q2021, up 4.2 percent year-on-year. On a 1H2021 gross basis, DP World handled 38.6 million TEU, with gross container volumes increasing by 13.9 percent year-on-year on a reported basis and 13.3 percent on a like-for-like basis.

At a consolidated level, our terminals handled 11.4 million TEU in 2Q2021, increasing 18.2 on a reported basis and up 17.3 percent on a like for like basis.

Group Chairman and Chief Executive Officer Sultan Ahmed Bin Sulayem commented: ‘’We are delighted to report another strong volume performance with Q2 growth accelerating to 17.1 percent year-on-year, and up 7.3 percent compared to Q2 of 2019, which highlights the strength of the underlying market. Growth continued to be broad based with all our regions delivering a robust performance, with India being exceptionally strong. Encouragingly, the recent volume improvement at our flagship port of Jebal Ali (UAE) continued into 2Q2021 with throughput growth accelerating to 4.2 percent year-on-year.’’

‘’Looking ahead, the near-term outlook remains positive, but we do expect growth rates to moderate in the second half of 2021. Furthermore, we remain mindful that the COVID-19 pandemic and geopolitical uncertainty could once-again disrupt the global economic recovery,’’ he added.

‘’Overall, we continue to make good progress on our strategy to deliver supply chain solutions to beneficial cargo owners and are focused on growing profitability while managing growth capex. The strong start to 2021 leaves us well placed to deliver an improved full year performance and we remain focused on delivering our 2022 targets.’’