Etisalat 2017 net profit up 5pc to $2.2bn

21/02/2018 07:08 AST

Top telecom group Etisalat UAE has reported a net profit after federal royalty of Dh8.2 billion ($2.23 billion) for 2017, marking an increase of 5 per cent year on year.

Etisalat UAE revenues amounted to Dh31.2 billion and increased year over year by 3 per cent, while aggregate subscriber base reached 142 million, representing a year over year increase of 1 per cent on a like for like basis.

Subscriber base reached 12.6 million in the fourth quarter, representing a year on year growth of 3 per cent.

Etisalat UAE's full year EBITDA in 2017 increased by 2 per cent to Dh16.7 billion resulting in EBITDA margin of 53 per cent.

The board of directors has proposed a dividend payout of 40 fils per share for the second half of 2017, representing a total dividend payout of 80 fils for the full year and a dividend payout ratio of 82 per cent.

Etisalat chairman Eissa Mohamed Al-Suwaidi, said: "2017 proved to be yet another year of good achievement for Etisalat as we affirm our position as the leading operator in the markets where we operate."

"Maintaining good performance, despite the global challenges facing the telecom industry, is evidence that we continue to provide value to our customers and shareholders. We remain in a strong position to realise the opportunities that will come with the digital transformation the group is undergoing. Thanks to our experience and our strategic focus on innovation, Etisalat Group is well placed to harness growth opportunities as we continue to move forward. "I want to praise the wise leadership of the United Arab Emirates for supporting the telecommunications sector. Etisalat is fully aligned with the Government's drive to position the UAE among the most advanced countries in the world.

"With the unwavering support of the UAE leadership and our shareholders, along with the commitment of our world-class management team and the loyalty of our millions of customers across our footprint, I am confident that 2018 will continue the pattern of long-term, sustainable success that is the hallmark of Etisalat Group," he added.

Saleh Abdullah Al Abdooli, Group chief executive officer, Etisalat, said: "In 2017, Etisalat Group continued to deliver on its promise of strong performance despite the increasing global economic challenges and the mounting pressure facing the telecom industry. We have showcased good results underpinned by our continued commitment and investments toward next-generation services and solutions adding remarkable value to the communities we serve and enhance overall customer experience."

"Last year Etisalat Group launched a new corporate strategy focusing on 'Driving the Digital Future to Empower Societies' enabling us to consistently push our boundaries, by responding swiftly to the global digital advancements and proactively delivering cutting-edge services and solutions to our customers. The establishment of the 'Open Innovation Center' was a strategic step in this direction allowing us to highlight digital innovation, its capabilities and how digitalization can come to life for Etisalat customers, businesses and governments.

"We will continue to focus on creating the world's best and leading networks across our markets to deliver long-term value to all our stakeholders. The successful launch of the first pre-commercial 5G in UAE will enable our nation and businesses to achieve transformational growth by leveraging on new-age technologies like IoT, Artificial Intelligence (AI), robotics, cloud and future technologies that will reshape our society and industry on a large scale.

"Etisalat Group is confidently moving forward in enriching lives and enabling societies across its markets. As a group, we will continue our efforts to sustain a healthy portfolio that maximizes synergies, and focuses on enhancing customer experience, while adding value to our shareholders.

"We are thankful to the wise leadership of the UAE and our shareholders for their steady support in this journey, our customers for their continued confidence and trust and to our dedicated employees across our footprint for their hard work and creativity allowing us to drive the digital revolution," Al Abdooli added.

Trade Arabia