Strategy & Operations

e& reports outstanding Q3 financial and operational results

31 Oct 2023

Abu Dhabi:  e& today announced its consolidated financial results for Q3 2023 reporting consolidated revenues of AED 13.4 billion with a YoY increase of 3.3 per cent while consolidated net profit was AED 3.0 billion, a year-over-year increase of 20 per cent.

Financial Highlights for Q3 2023

 Q3 2023Q3 2022Percent change
RevenueAED 13.4 bnAED 13.0 bn3.3%
Net ProfitAED 3.0 bnAED 2.5 bn20.0%
EBITDAAED 6.9 bnAED 6.7 bn2.7%
Earnings per ShareAED 0.34AED 0.2920.0%

Aggregate Group subscribers

167 million162 million3.3%

(*) At constant exchange rates, revenue increased by 8.0 percent and EBITDA increased by 6.9 percent year-over-year

At constant exchange rates, consolidated revenue increased by 8.0 per cent and consolidated EBITDA increased by 6.9 per cent , resulting in a resilient EBITDA margin of 51 per cent.

The number of etisalat by e& subscribers in the UAE reached 14.0 million in Q3 2023, representing an increase of 4.7 per cent over the same period last year, while aggregate group subscribers reached 167 million, a 3.3 percent increase.

Hatem Dowidar, Group CEO, e&, said:

“e&’s strong performance this quarter is a testament to our resilience, and commitment to deliver value and growth to our customers and shareholders. We will continue our focus on championing innovation to enrich the lives of our customers and make a positive impact across the societies we serve. We remain committed to lead the change by taking our first steps in sustainable mobility and transforming our business with AI powered solutions while realising our vision of digitally empowering societies. 

Looking ahead, we will continue to push the boundaries of technology and innovation, while our strong performance serve as a stepping stone toward a future where we continue to pioneer advancements and create even more value for all our stakeholders. Thanks to our talented teams, loyal customers and shareholders for their continued trust and support to our vision. Together, we are poised for even greater achievements to come in the near future.”

Key highlights and developments for Q3 2023

e&: A global technology pioneer pushing digital boundaries

The world’s first AI-empowered autonomous telecom store ‘EASE’ was introduced as part of the trajectory of innovation using ground-breaking technology to allow customers to seamlessly purchase products and services. e& also took a major step to support electric mobility in UAE with the soft launch of ‘Charge&Go’, an end-to-end holistic EV charging solution.

In line with e&'s commitment to climate action and sustainable community growth, the Group proudly became the ‘Principal Technology Partner’ for COP 28. It has also joined the World Economic Forum's EDISON Alliance to promote global digital inclusion for more than 30 million people in markets the e& serves.

In addition, a collaboration with the UAE Ministry of Education aims to nurture a digital-first mindset among students using next-generation digital tools. Etisalat Academy partnered with Earthlink to launch a telecoms training academy in Iraq focusing on GPON FTTH network systems.

On the global front, e& has joined forces with international giants such as SK Telecom, Deutsche Telekom, Singtel and Indosat to launch a global alliance in AI for telecoms. This alliance will pave the way for new innovations and co-development of the Telco AI platform. A partnership with Indosat promises to improve voice communication between Indonesia and the UAE by providing high quality IDD services.

e&'s achievements were celebrated at the Carrier Community Global Awards 2023by being named: 'Middle East Operator of the Year' for the third consecutive year. Its network technology prowess was also recognised with the World Teleports Association's Tier 4 certification for its Tawi al Saman and Jebel Ali teleports.

For its excellence in governance and best practice, the Group's legal and compliance team won 'Middle East In-House Legal Team of the Year' and 'Technology, Media and Telecommunications In-House Legal Team of the Year' at the Thomson Reuters ALB Middle East Law Awards 2023.

etisalat by e&: Revolutionising the telecom and digital sectors

etisalat by e& strengthened its market position through technological advances and strategic alliances by continuing to  expand its 5G services, introducing 5G Stand-Alone for mobile users, following the launch of the 5G SA service for Fixed Wireless Area (FWA) users. Collaborations have extended to Microsoft, resulting in a new AI-powered virtual assistant. Its commitment to cyber security has resulted in an alliance with the UAE Cyber Security Council. The first batch from Etisalat Academy's Cyber Sniper Programme graduated, a program designed to fortify UAE government employees' cybersecurity skills.

Furthermore, etisalat by e& introduced a groundbreaking social cloud-gaming platform ‘the Arena Challenge’, powered by OnMobile Global's ONMO. Innovations such as 'uTAP' and bespoke commercial offerings reinforced its technology-driven philosophy.

etisalat by e& has launched tailored solutions packages for start-ups and micro-enterprises this quarter, as well as Wi-Fi as a service to improve business connectivity.

Underlining its leadership during the third quarter, etisalat by e& achieved TM Forum Silver certification for Open API compliance, a first in the MENA region. Its pioneering spirit shone through with the world's first successful trials of high-capacity transmission networks and 5G milestones, such as a breakthrough with a successful mmWave pilot deployment over 10km and a record downlink speed of over 13Gbps in partnership with Ericsson.

It’s commitment to HR innovation earned it the title of 'Employer of the Year' at the GCC GOV HR Awards 2023. A partnership with the Emirati Talent Competitiveness Council (ETCC) has resulted in exclusive offers for Emiratis in the private sector enrolled in the Nafis programme.

e& international: building digital brands and expanding the partner network

Launched the digital brand ‘Onic’ in Pakistan as part of its partnership with Circles to elevate digital experiences for digital-native customers of Mobile Network Operators (MNOs). Sudatel and Pakistan based Perfectum mobile joined the partner network programme that supports the growth of global telecom operators, offering access to market best practices, cutting-edge services, and the benefits of e&'s scale to telecom operators around the world.

Strategic partnerships during the quarter also included but not limited to a collaboration with Vodafone Business that resulted in the acquisition of a major customer, to develop a software-driven network. The two companies plan to work with existing multi-national enterprise customers that would benefit from their combined offerings, operational scale, and complementary geographic footprint.

e& life: Redefining entertainment and digital financial services

e& life made significant progress in the third quarter, enhancing its offerings by redefining media, entertainment and digital financial services in the region. evision with STARZPLAY continued to pioneer and innovate in the MENA entertainment market with strategic developments on original productions and acquisition of exclusive key sport rights for MENA (such as Cricket ICC World Cup or Rugby World Cup). The financial sector saw the launch of the e& money prepaid card and the introduction of rewards on prepaid card spends. Customers can earn 1 per cent cash rewards with every purchase, the most competitive prepaid card offering in UAE. e& money’s remittance service saw a spike in transactions with their highest peak achieved in Q3.

e& enterprise: At the forefront of digital transformation

e& enterprise continued its success in the third quarter, pioneering digital transformation across various sectors. The company's strategic initiatives and partnerships have positioned it as a leader in driving innovation and sustainable practices.

The company moved forward with milestones such as the launch of the e& enterprise Innovation Centre. In line with the objectives of the Abu Dhabi Industrial Strategy (ADIS), e& enterprise collaborated with the Abu Dhabi Department of Economic Development (ADDED) to enhance and share experiences in the areas of Industry 4.0 and sustainability manufacturing. e& enterprise’s fintech blockchain platform, UTC had Al Masraf join as a new member of its banking consortium.

The digital payments horizon has been expanded through the collaboration with Tap Payments, and the commitment to providing cutting edge digital infrastructure has been strengthened through the partnership with Informatica to accelerate data modernisation and governance in the UAE.

e& capital: Spearheading investment and tech innovation

e& capital demonstrated strategic foresight in the third quarter via driving innovation and investments in promising startups enabling cutting-edge technologies. At the forefront of technology innovation, the firm participated in the $25 million Series A funding round for Ikigai Labs, a startup committed to bringing generative AI to tabular data. e& capital also led a $5 million Series A funding round for Maxbyte, driving the industry 4.0 revolution in the MENA region. Additionally, e& capital led the $60 million Series B funding round for Airalo, the global eSIM marketplace enabling travelers with seamless connectivity.