e& has released its consolidated financial results for Q1 2024, reporting a consolidated revenue of AED 14.2 billion, growing 9% year-over-year, while consolidated net profit increased to AED 2.3 billion, a year-over-year growth of 7%. The group’s consolidated EBITDA reached AED 6.4 billion, growing 3% year-over-year, resulting in an EBITDA margin of 45%.
The number of e& UAE subscribers reached 14.5 million in Q1 2024, while consolidated group subscribers reached 173 million, representing an increase of 5% over the same period last year.
Financial Highlights for Q1 2024
e& reported strong performance across its operations. This was driven by the expansion of partnerships across its verticals and continuous investments in developing critical infrastructure for future readiness.
|
Metric |
Q1 2024 |
Q1 2023 |
Percent Change |
|
Revenue |
AED 14.2 billion |
AED 13.0 billion |
+9% |
|
Net Profit |
AED 2.3 billion |
AED 2.2 billion |
+7% |
|
EBITDA |
AED 6.4 billion |
AED 6.2 billion |
+3% |
|
Consolidated Group Subscribers |
173 million |
164 million |
+5% |
H.E. Jassem Mohamed Obaid Bu Ataba Alzaabi, Chairman of e&, said that e&’s strong performance in Q1 was driven by its focus to build a progressive business model represented by well-positioned verticals to grow and succeed throughout the year.
Hatem Dowidar, Group Chief Executive Officer of e&, said, “Our evolution as a tech-co that embraces the future is reflected in our Q1 financial results, building on the momentum of last year’s success. e&’s robust performance in Q1, with consolidated revenue growth of 9 percent to AED 14.2 billion while consolidated EBITDA reached AED 6.4 billion, growing 3 percent year-over-year. This is a testament of the strategic choices we’ve made in diversifying our portfolio, fortifying our brand, and cementing partnerships in our unrelenting efforts to digitally empower the people and communities we serve while maximizing value creation for our shareholders.”
Key Operational Highlights
e&
e& was named the ‘Fastest Growing Tech Brand’ and ‘Most Valuable Brand Portfolio’ in MEA and has continued its growth trajectory, exemplified by landmark partnerships, alliances, and large-scale infrastructural developments that position the group as a transformational force.
In Q1, e& and its partners in the Global Telco AI Alliance announced a joint venture to develop telco-specific large language models (LLMs) to revolutionize customer service through advanced AI solutions. e& also made a commitment to the International Telecommunication Union’s (ITU) Partner2Connect Digital Coalition, pledging to invest USD 6 billion between 2024 and 2026 in technological advancement, infrastructure development, and innovative digital solutions to extend meaningful connectivity to communities across its markets.
e& Carrier & Wholesale (C&W) has made advancements in accelerating the growth of connectivity with milestone agreements in the subsea cable space. C&W is set to anchor the 2Africa subsea cable, marking the most extensive subsea cable system landing in the UAE to date. Furthermore, a collaboration with Ooredoo will introduce the Gulf Gateway Cable (GGC-1), connecting data centres in Abu Dhabi and Doha while facilitating seamless communication and data exchange. In addition, C&W launched the region’s first Smart Connect (Bandwidth on Demand) service.
e&, Telecom Egypt, Telin and a major Indian operator formed a consortium to develop the ICE IV Project to seamlessly connect the Intra Asia region to India and the Middle East. e& expanded its Tier III SmartHub data centre network to Abu Dhabi, providing state-of-the-art infrastructure and connectivity to support the entire region’s digital ecosystem.
e& C&W launched a one-stop-shop solution with a new wholesale service model, empowering emerging network operators with fully-managed services, giving them access to the entire value chain, including Bilateral Roaming Services, Roaming as a Service (RaaS), Voice Gateway Services, A2P Gateway services, and data connectivity for faster internet access.
e& and Vodafone joined forces to empower other operators to confidently adapt to the evolving voice landscape with cross-border managed voice solutions. e& and Dell Technologies partnered to support and strengthen e&’s mobile networks transition to open technologies. In addition, e& and Huawei signed an agreement that will see both entities collaborating on developing green and energy-efficient networks in the UAE.
Also Read: e& Leads as a Technology Powerhouse
Setting a new precedent in the UAE’s journey towards net-zero carbon emissions, e& also continued its sustainability efforts by partnering with Al-Futtaim Electric Mobility Company to deploy a fleet of 100 BYD electric vehicles (EVs).
Recognizing that its people are central to its success, e& consistently invests in fostering a positive and supportive work environment and was recognized as a ‘Great Place to Work®.’
e& UAE
e& UAE continued to reign as the Strongest Telecom Brand in the World in 2024. ABAC Center of Excellence also awarded e& UAE the distinguished ISO 37001:2016 Anti-Bribery Management System (ABMS) certification, a significant milestone in its commitment to ethical business practices.
As a pioneer in network technology and services, e& UAE completed multiple cloud Radio Access Network (RAN) trials, a first in the MEA region, providing network innovation and agility to operators and enterprises to improve performance in the 5G ecosystem.
Setting an industry benchmark in the Middle East, e& UAE announced a network upgrade capability that will deliver speeds of up to 50 Gbps. Powered by the successful completion of the Middle East’s first symmetric 50-Gigabit-capable Passive Optical Networks (50G PON) broadband service, e& UAE is set to accelerate the digital experience for households and businesses.
Additional collaborations with Huawei include a live trial of MENA’s first 800GE router, marking a major step toward moving 800GE technology out of lab tests and into practical use. e& UAE became the first company outside North America to deploy Microsoft’s Azure Operator Nexus and Azure Operator 5G Core solutions. Deepening its efforts to elevate customer experiences using custom Generative AI (GenAI), e& UAE partnered with Amazon Web Services (AWS).
e& UAE partnered with Ericsson to implement the latest charging features across its network to boost 5G capabilities, monetize new 5G services, and provide enhanced experiences to customers in the UAE through technology, security, and operational upgrades. Both organizations also completed a Cloud RAN trial in the UAE, successfully conducting a 5G data call using Ericsson’s Cloud RAN architecture in a lab environment.
Nokia and e& UAE came together to showcase the industry’s first Multi-Access Edge Slicing on a live network. With Oracle, the partnership entailed enhancing AI capabilities by deploying NVIDIA H100 GPU clusters within e& UAE’s Oracle Cloud Infrastructure (OCI) Dedicated Region, located at its data centres.
In a trailblazing move that will enhance global connectivity, e& UAE became the first operator to join Yahsat’s Direct-to-Device (D2D) to bring satellite coverage to standard smartphones.
e& UAE unveiled new 5 Gbps and 10 Gbps plans, the first-of-its-kind in the UAE. The new Fibre-to-the-Home (FTTH) plans are set to significantly enhance the connectivity experience for consumers with ultra-fast fibre internet. Bringing transformative connectivity to the water’s edge, Corning Incorporated and e& UAE introduced Fibre-to-the-Yacht (FTTY) at Yas Marina, integrating 138 yachts with the latter’s advanced solutions and Corning’s pre-terminated fibre optic cables.
e& life
In Q1, e& life followed through on its philosophy; “simplicity being the ultimate sophistication,” refreshing the design of the e& money financial app, the number one native fintech app in the UAE in terms of monthly active users.
evision continued to fortify its content library to meet the diverse demands of the MENA audience. In an impressive Q1 performance, it showcased substantial growth, surpassing a milestone of 5.5 million users. This achievement was propelled by the resounding success of STARZ ON, evision’s ad-supported streaming platform, launched last year in the MENA region.
e& enterprise
Continuing its mission to digitally revolutionize the healthcare industry, e& enterprise and Daman launched the “Hayakom Digital Booth”, a visionary concept designed to redefine health insurance accessibility and improve customer service in the UAE.
Two landmark collaborations with Burjeel Holdings, including the launch of a pioneering telemedicine services project and an MoU to transform delivery models were completed with the aim of redefining healthcare in the UAE and beyond. Each collaboration represents a transformative approach to healthcare that prioritizes accessibility, efficiency, and sustainability across the region.
e& enterprise aims to set a pioneering benchmark in the digital payments domain, prioritizing sustainability. This initiative empowers businesses to transparently share specific information with their clientele, such as carbon emissions per transaction, while offering the opportunity to mitigate their carbon footprint through trusted methods.
Moreover, e& enterprise's dedication to unleashing the digital capabilities of both public and private sectors gained momentum in Q1 through the establishment of several new partnerships and collaborations, further enhancing its mission.
haifin, the freshly rebranded trade finance blockchain platform of e& enterprise, announced its broader vision to expand beyond the UAE where, in 2023, it evaluated over AED 116 billion worth of transactions, representing close to 70 percent year-on-year growth.
A partnership with the Abu Dhabi Social Support Authority (ADSSA) illustrates e& enterprise’s capabilities in digitally enabling public sector entities to develop the “House Visit and Interviews Management System.”
e& enterprise and SAS joined forces to enable AI-powered and data-driven innovations in the UAE and KSA. e& further solidified its pledge to propel Saudi Arabia's digital evolution in collaboration with the King Abdullah Financial District (KAFD) and the International Data Corporation (IDC). This initiative delved into the present state of the Kingdom's digital terrain, spotlighting e& Enterprise's investments in the region and its role in advancing the goals of Saudi Vision 2030.
e& international
e& international continued to expand its Partner Networks Programme, aimed at extending the benefits of its extensive scale to other operators. During the initial quarter, notable advancements were achieved with the addition of Ncell Nepal as a new partner, resulting in the expansion of the program to encompass five operators spanning six countries.
Additionally, the business reinforced its commitment to boosting partner networks at the second annual Chief Business Officer (CBO) Forum, where the Partner Network Programme was expanded with the addition of Sudatel.
PTCL, a subsidiary of e&, became the market leader in Fibre-to-the-Home (FTTH) services in Pakistan. Its ascent to the forefront of this critical segment of the telecommunications market is a testament to its robust infrastructure and innovative offerings.
e& capital
Since the launch of e& capital in 2022, it has invested over USD 100 million in more than 10 high-growth, technologically innovative companies, making e& capital the most active CVC investor in the Middle East.
e&’s portfolio companies are disrupting the technological landscape and driving substantial value to customers across the MENA region and globally. e& capital’s companies are the source of the most technologically advanced innovations, supported by leading global institutions and universities. It continues to source and invest in innovative founders, helping them scale and benefit from synergies across the e& group.
Read More: e& Achieves Strong Financial Performance in FY2023
