Financial Highlights

Financial Highlights for Q1 2025

Aggregate subscriber base reached 194.8 million, increasing 12.9% year over year.
Revenue increased by 18.7% year over year to reach AED 16.9 billion. On a like for like basis, excluding e& PPF Telecom, organic revenues increased 8% in constant currency and 4.4% in reported currency fueled by strong growth across all segments.
EBITDA increased by15.4% year over year in reported currency to AED 7.4 billion with an EBITDA margin of 43.6% in line with management guidance. Organically, EBITDA increased 3.3% on constant currency and 0.8% in reported currency supported by strong telecom operations in domestic and int’l markets that was translated into a robust Telco margin of around 48%
Net profit after federal royalty and corporate tax reached AED 5.4 billion, an increase of 130% year over year and resulting in net profit margin of 31.8%. Net profit excluding the impact of Khazna transaction increased year over year by 19.1%.
CAPEX, excluding spectrum and licenses fees, increased 2.4% year over year to AED 1.7 billion with an intensity ratio of 10.0%, lower than Q1 2024 with 1.6 percentage points.
Operating free cashflow excluding spectrum and licenses fees increased by 20% year over year to AED 5.7 billion, with a margin of 34%.
Consolidated cash balance amounted to AED 44.5 billion, leading to a net debt position of AED 24.1 billion and equivalent to Net Debt /EBITDA of 0.88x.

Key Developments in Q1 2025

e& was ranked by Brand Finance as the “World’s Fastest Growing Brand” and also among the Top 10 Most Valuable Telecom Brands globally in the Global 500 Brand 2025 report released during World Economic Forum at Davos. This recognition reflects a remarkable eight-fold increase in brand value versus last year, reaching an all-time high brand value of USD15.3 billion for e& as a standalone brand and crossing the USD 20 billion mark for its brand portfolio and investment value.
e& PPF Telecom Group BV (e& PPF Telecom) signed a binding agreement with United Group B.V. (“United Group”) to acquire 100% of SBB d.o.o. Serbia (“SBB”) for a consideration of EUR 825 million on a cash free, debt free basis. The transaction was completed successfully by 2 April 2025.
e& completed the divestment of its 40% stake in Khazna for a value of USD 2.2 billion (equivalent to AED 8.0 billion). This transaction generated a significant capital gain of USD 1.4 billion (equivalent to AED 5.1 billion) before federal royalty and corporate tax and the proceeds will be utilized to reduce the Group’s debt balance, thereby enhancing its financial flexibility and strengthening the credit profile.
Maroc Telecom reached a settlement on its ongoing competition law litigation with Inwi. As part of this settlement the indemnity amount to be paid by Maroc Telecom to Inwi, based on the decision ruled by the Court of Appeal of Casablanca, will be reduced from 6.38 billion Moroccan Dirham (MAD) to 4.38 billion MAD. Additionally, both companies signed a new strategic partnership to create two joint-ventures: one focused on the deployment of fiber-optic passive infrastructure and the other dedicated to the rollout of new telecommunications towers. The partnership is still subject to obtaining the needed regulatory approvals.
e& Carrier & Wholesale (e& C&WS) is reinforcing its position as a global connectivity enabler with a strategic expansion into high-growth regions by establishing new strategic hubs in Miami and Johannesburg, strengthening its existing presence in London and Singapore. By expanding its footprint and integrating AI-driven solutions, e& C&WS is driving new business opportunities to scale, transform, and stay ahead in a fast-evolving digital landscape.
e& enterprise signed a strategic three-year collaboration with PayPal, a globally renowned payment solutions provider, that will enhance the payment capabilities offered through its digital payments’ platform, empowering businesses in the UAE and beyond with expanded payment options.