e& Reports Strong Q3 2024 Financial Results: A Leap Towards Global Expansion
In an impressive display of growth and resilience, e& (formerly known as Etisalat Group) has announced its consolidated financial results for the third quarter of 2024. The company reported a net profit of AED 3 billion for Q3, contributing to a robust total of AED 8.5 billion for the first nine months of the year. This performance underscores e&’s strategic initiatives and its commitment to expanding its footprint in the telecommunications and digital services sectors.
Financial Highlights
e&’s consolidated revenue for Q3 2024 reached AED 14.4 billion (approximately $3.92 billion), marking a 10% increase year-over-year when adjusted for constant currency. For the first nine months of the year, consolidated revenues stood at AED 42.7 billion, reflecting a 9% year-over-year growth. This upward trajectory is indicative of e&’s successful strategies across various verticals, including telecommunications, digital services, and enterprise solutions.
The company’s total subscriber base has also seen a significant increase, with a 6% year-over-year growth, bringing the total to 177.3 million subscribers globally. In the UAE alone, e& has reached 14.7 million subscribers, representing a 5% increase from the previous year. This growth in subscriber numbers is a testament to e&’s commitment to enhancing customer experience and expanding its service offerings.
Strategic Expansion and Diversification
Hatem Dowidar, the CEO of e&, highlighted the company’s strategic expansion into 20 countries, which has broadened its reach to 38 markets worldwide. This growth is not just about numbers; it reflects e&’s solid performance in both local and international markets, driving its consolidated net profit to AED 8.5 billion—a remarkable 10% increase during the first nine months of the year. The company’s consolidated EBITDA reached AED 19.4 billion, resulting in an impressive EBITDA margin of 45%, while the telecom EBITDA margin remained resilient at 49%.
PPF Telecom Transaction
A significant milestone for e& was the completion of its acquisition of a controlling stake in PPF Telecom Group. This strategic move is expected to enhance the group’s portfolio diversification and accelerate its growth in digital services across various sectors, including enterprise solutions, fintech, and media and entertainment. Dowidar expressed enthusiasm about the opportunities this acquisition presents, stating, “By combining our expertise with PPF Telecom’s strong local presence, we’re well-positioned to drive digital transformation and empower societies across this region.”
The acquisition not only marks e&’s first operational foothold in Europe but also positions the company to impact the lives of over one billion people across the Middle East, Asia, Africa, and now Central and Eastern Europe.
Key Partnerships and Future Prospects
In addition to the PPF Telecom acquisition, e& has forged a landmark partnership with Amazon Web Services (AWS), signing a $1 billion-plus agreement over the next six years. This collaboration aims to accelerate cloud-driven innovation and digital transformation across the Middle East. The partnership will focus on delivering essential cloud services, including storage, computing, networking, cybersecurity, and artificial intelligence (AI) and machine learning (ML). A significant portion of this investment will be dedicated to training and certifying up to 60,000 individuals, including 6,000 UAE nationals, in cloud technologies and AI.
These strategic partnerships and acquisitions are not just about expanding e&’s market presence; they are also about enhancing the value delivered to customers and fostering innovation in the telecommunications landscape.
Conclusion
e&’s Q3 2024 financial results reflect a company that is not only thriving in its current markets but is also strategically positioning itself for future growth. With a strong focus on diversification, global expansion, and technological innovation, e& is set to redefine the telecommunications landscape in the regions it serves. As the company continues to pursue its strategic ambitions, stakeholders can expect to see further advancements that will enhance the digital experience for millions of customers worldwide.
For more insights into e&’s latest developments and the telecommunications industry, visit Economy Middle East.