Etisalat Group net profit reaches 4.6 billion during H1 2020

Etisalat Group announced its consolidated financial results for H1 ending 30th June 2020.

H1 2020 Financial Highlights and Key Developments

• Etisalat Group subscriber base reached 146 million Subscribers.
• Consolidated revenues amounted to AED 25.6 billion and consolidated net profit after Federal Royalty amounted to AED 4.6 billion representing a year over year increase of 3% and resulting in a net profit margin of 18%.
• Consolidated EBITDA totaled AED 13.2 billion resulting in an EBITDA margin of 52%.
• Credit Rating Agencies Standards & Poor’s and Moody’s affirmed Etisalat Group’s high credit rating at AA-/Aa3 with a stable outlook
• Etisalat partnered with the Department of Health, the regulator of the healthcare sector in Abu Dhabi to launch the ‘Digital Healthcare’ Centre
• Etisalat launched telehealth service in the private sector as a continuation of its mission to provide clinical excellence to patients in need.
• Etisalat partnered with Alef Education to enable a series of digital initiatives to empower the region’s education sector
• Etisalat unveiled the 5G-enabled smart patrol for Dubai Police.
• Etisalat in partnership with Ministry of Interior signs an MoU with Sheikh Zayed Housing Programme to provide villas with the smart fire alarm solution ‘Hassantuk’
• Etisalat launched multiple initiatives to support ‘Stay at Home’ directive including but not limited to:
• Etisalat partnered with Microsoft to enhance its public cloud-first strategy infused with automation and AI
• Digital Financial Services, a joint venture of Etisalat and Noor Bank, partnered with MoneyGram to offer international remittance services in the UAE
• Etisalat completed the acquisition of Help AG, a privately held regional company specializing in the delivery of cybersecurity solutions and services.
• Etisalat expands ‘SmartHub’ presence with a Tier 3 data center facility at two new locations in UAE
• Etisalat successfully launched open virtual Radio Access Network (Open vRAN)
• Etisalat launched ‘Business Edge’, a new comprehensive platform offering a wide range of services and solutions that cater to Small and Medium Business (SMB) customers
• Etisalat launched ‘Easy Prepaid’ enabling business customers to enjoy prepaid features on existing postpaid plans

H.E. Obaid Humaid Al Tayer, Chairman of Etisalat Group

“Etisalat Group has delivered a good performance in the first half of 2020 considering the circumstances; the world is voyaging through unchartered waters and COVID-19 has affected all industries including the telecom sector. Etisalat managed to adapt, respond, and demonstrate resilience as we ensured the delivery of uninterrupted services to our customers and had the privilege of supporting our society through various initiatives.

“We are witnessing an opportunity to fast track digital transformation. The unconventional conditions have spurred the adoption of digital services, bridging a divide by changing customers’ behaviour towards digital channels. Etisalat’s innovative solutions have catered for the social distancing era, it has enabled remote working and education, it minimized human interactions and increased the pace of automation. Our infrastructure has accommodated the surge in requirements and is ready for more acceleration in digital adoption.

“I would like to thank the UAE leadership for positioning the country as one of the most competitive nations globally. Despite the headwinds posed by today’s extraordinary times we continue to pursue our digital goals to meet the distinctive needs of all customers. I would also like to extend appreciation to our shareholders and loyal customers for their sustained confidence during this period.”

Hatem Dowidar, Acting CEO, Etisalat Group & CEO, Etisalat International

“As we conclude the first half of the year, we pride ourselves on our ability to sustain shareholder value while ensuring the safety of our employees, the welfare of our customers, and the continuous support to the community. The group’s financial performance is a testimony of the strong foundations Etisalat was built on and a reflection of a robust network playing a pivotal role in harnessing solutions and services enabling governments, industries, and communities to accelerate digital transformation.

“Today the digital revolution is in full force with businesses looking at every window of opportunity to transform their services and solutions. At Etisalat our focus to realise the vision and strategy of ‘Driving the digital future to empower societies’ supported customers during these unprecedented times by providing them a plethora of new innovative services and emerging technologies backed with resilient connectivity to mitigate the exponential spikes in the network.

“Despite the global economic pressure, Etisalat is confidently moving forward and progressing positively in enabling societies across its operations. We will continue to focus on capitalizing opportunities and enhancing the overall customer experience while delivering long-term value for all our shareholders.”