e& today announced its consolidated financial results for the first half of 2024, reporting consolidated revenues of AED 28.3 billion, a year-over-year (YoY) growth of 6 per cent, demonstrating strong performance across all business verticals.
Reflecting the effectiveness of its strategic focus on growth in local and international markets, the group’s consolidated net profit grew by 17 per cent to AED 5.5 billion. Furthermore, consolidated EBITDA reached AED 12.9 billion, resulting in a healthy EBITDA margin of 46 per cent.
e&’s robust financial results are driven by its relentless focus on maintaining its growth momentum with a strong commitment to drive innovation while enabling a digital future for customers across its markets. This is further evidenced by the group’s growing subscriber base, with total subscribers reaching 175 million in a significant YoY increase of 6 per cent while the total number of e& UAE subscribers reached 15 million, representing a YoY growth of 5 per cent.
Financial Highlights for H1 2024
H1 2024
H1 2023
Per cent change
Revenue
AED 28.3 billion
AED 26.6 billion
6% (*)
Net Profit
AED 5.5 billion
AED 4.7 billion
17%
EBITDA
AED 12.9 billion
AED 12.8 billion
2% (*)
Earnings per Share
AED 0.63
AED 0.54
17%
Consolidated Group Subscribers
175 million
165 million
6%
(*) At constant exchange rates, revenue increased by 8 per cent and EBITDA increased by 3 per cent year-over-year.
Delivering on its promises of maximising value to its shareholders, e&’s Board of Directors approved an interim dividend of 41.5 fils per share for the first half (January to June) of 2024, in accordance with the new dividend policy that was greenlit by the shareholders at the Annual General Meeting (AGM) earlier this year.
The newly approved dividends policy stipulates an incremental increase of AED 0.03 per share every year for the fiscal years 2024, 2025, and 2026.
H.E. Jassem Mohamed Bu Ataba Alzaabi, Chairman, e&, said: “e& showcased remarkable resilience and sustained its upward trajectory in the first half of 2024, achieving consolidated net profits of AED 5.5 billion, representing a year-over-year growth of 17 per cent. This robust performance was driven by our unwavering commitment to excellence and innovation”.
“We are proud of the progress made in the first half of 2024, which was bolstered by our recent acquisitions, partnerships, and strategic expansion of our digital services portfolio. These efforts significantly strengthen e&’s position as a leader in digital transformation, providing state-of-the-art solutions to our diverse customer base”.
Reflecting on e&’s growth trajectory and future prospects despite challenges in some of its markets, H.E. Alzaabi commented, “e& remains committed in delivering top-tier services and advanced technologies with a focus on purpose and value. Our ongoing investments in digital infrastructure and emerging technologies position us as a driving force for innovation and growth, making us the preferred partner in advancing the digital economy. With the support and vision of the UAE leadership, we will continue to play a crucial role in shaping the digital landscape and driving socio-economic progress, thereby reinforcing the UAE’s status as a global innovation hub”.
Hatem Dowidar, Group Chief Executive Officer, e&, said: “e&’s performance in the first half of 2024 highlights our dedication and efforts to foster growth and efficiency while demonstrating resilience and adaptability to the various challenges in some of our markets”.
“e& achieved impressive results with consolidated revenue increasing by 6 per cent to AED 28.3 billion, and consolidated EBITDA rising by 2 per cent year-over-year to AED 12.9 billion. Our success is driven by our relentless pursuit of technological innovation, delivering tangible value to our customers and shareholders. We have embraced advanced and emerging technologies, launching numerous AI-driven initiatives and platforms, underscoring our leadership in digital transformation. Strategic partnerships have enhanced our service portfolio, while we continue to expand our global presence through successful acquisitions”.
“Looking ahead, I am confident that our dedication to empowering individuals, businesses, and communities through technology will pave the way for growth and create a meaningful impact in people’s lives. Despite the challenges in some markets, we will focus on seizing the opportunities ahead. With the unwavering efforts of our teams, we can accelerate our progress, take bold actions to enhance our value proposition, and expand access to connectivity. We are deeply grateful to our customers and shareholders for their continued support and trust as we explore new avenues and achieve new milestones,” added Dowidar.
Key Operational Highlights
e&
e& was crowned the Fastest Growing Tech Brand and the Most Valuable Brand Portfolio in the Middle East and Africa (MEA), according to the 2024 Brand Finance Global 500 Report in recognition of the group’s exceptional performance in increasing the value of its brand portfolio to US$17 billion in 2024, reflecting the confidence of investors and partners in e&, which has also been named the world’s Strongest Telecom Brand in the World for 2024 with a score of 89.4 out of 100 on the BSI Index with a leadership rating of AAA. e& was also named a Great Place to Work® by the Great Place to Work Institute in recognition of the company’s efforts to foster a positive, supportive, and engaging work environment for its employees.
e& and Abu Dhabi National Oil Company (ADNOC) joined forces to build the world’s largest private 5G network for the energy sector. This groundbreaking initiative will revolutionise the industry by enabling blazing-fast data transfer and connectivity across ADNOC’s 11,000-square-kilometre operation. This powerful network will empower ADNOC’s AI solutions to access remote onshore and offshore sites, driving significant technical advancements and innovation.
e& and Vodafone joined forces to empower other regional and international operators to adapt to the evolving voice landscape with cross-border managed voice solutions. The group also signed an agreement with Dell Technologies to drive 5G innovation through Dell’s Open Telecom Ecosystem Lab (OTEL) and another with Huawei to build green and energy-efficient networks.
In a major move for the telecom industry, e& and its partners in the Global Telco AI Alliance formed a joint venture in H1 2024. This venture aims to develop cutting-edge Large Language Models (LLMs) specifically designed to revolutionise customer service through advanced AI solutions.
e& Carrier & Wholesale (C&W) has made advancements in accelerating the growth of connectivity with milestone agreements in the subsea cable space with 2Africa subsea cable, the most extensive subsea cable system landing in the UAE to date, making a huge leap forward in positioning the UAE as a global hub for digital connectivity and providing advanced digital infrastructure that supports economic development and innovation.
A collaboration with Ooredoo will introduce the Gulf Gateway Cable (GGC-1), connecting data centres in Abu Dhabi and Doha while facilitating seamless communication and data exchange. In addition, C&W launched the region’s first Smart Connect (Bandwidth on Demand) service, allowing operators to scale their connectivity requirements on the go with unmatched flexibility and control over bandwidth provisioning.
e& joined forces with Telecom Egypt, Indonesia’s Telin, and a major unnamed Indian telecom company to develop the ICE IV subsea cable project. This ambitious project aims to connect Southeast Asia and India seamlessly to the Middle East. Additionally, e& has expanded its state-of-the-art Tier III SmartHub network to Abu Dhabi. This expansion strengthens the region’s entire digital ecosystem by providing advanced infrastructure.
e& Carrier & Wholesale continued its ascendancy, winning the ‘Edge Innovation of the Year’ Award at the 2024 Data Centre Solutions (DCS) Awards, followed by ‘Middle East Regional Operator of the Year’ and ‘Best Regional Data Center Operator’ at the Carrier Community Global Awards (CCGA). In addition, e& group won top positions in the MMA MENA Smarties Awards for its innovative solutions in customer and user experience and design.
e& UAE
e& cemented its leading position in telecommunications and technology, shattering speed records by achieving the world’s fastest data transfer rate of 30.5 Gbps on its live 5G network in the UAE. This breakthrough strengthened the country’s reputation as a global hub for digital innovation and reinforced e&’s leadership in 5G technology.
Setting an industry benchmark in the Middle East, e& UAE announced a network upgrade capability that will deliver speeds of up to 50 Gbps. Powered by the successful completion of the Middle East’s first symmetric 50-Gigabit-capable Passive Optical Networks (50G-PON) broadband service, e& UAE is set to accelerate the digital experience for households and businesses.
Further demonstrating its commitment to advancing 5G technology, e& UAE released a comprehensive whitepaper highlighting the transformative potential of 5G networks in driving progress across various sectors and providing the advanced infrastructure needed for the UAE’s prosperous digital future.
e& continued to play an integral strategic part in the UAE’s global leadership in Fibre-to-the-Home (FTTH) penetration, cementing the country’s top position with a penetration rate of 99.3 per cent. e& UAE remains squarely focused on realising the nation’s connectivity ambitions, enabling homes and businesses to benefit from the latest high-speed internet services, enhancing productivity, and enriching the customer experience.
Championing innovation, e& UAE partnered with Corning Incorporated to bring cutting-edge Fibre-to-the-Yacht (FTTY) services to the water’s edge at Yas Marina in Abu Dhabi. This collaboration utilises Corning’s advanced fibre optic cables to deliver high-speed internet connectivity to all yachts docked there.
e& UAE also collaborated with Nokia to bring Multi-Access Edge Slicing, a first for its network, and also broadened its partnership with Oracle to fuel AI advancements, deploying NVIDIA H100 GPU clusters within e& UAE’s Oracle Cloud Infrastructure (OCI) Dedicated Region, located at its data centres.
e& UAE set a new benchmark as the first company outside North America to deploy Microsoft’s Azure Operator Nexus and Azure Operator 5G Core solutions. Continuing its efforts to elevate customer experiences using custom Generative AI (GenAI), e& UAE partnered with Amazon Web Services (AWS).
In a strategic move to enhance global connectivity, e& UAE became the first operator to join Yahsat’s Direct-to-Device (D2D) ecosystem, which brings satellite coverage to standard smartphones.
Spearheading advancements in aerial mobility and autonomous systems across the country, e& UAE announced a partnership with Multi Level Group (MLG) to drive innovation in electric vertical take-off and landing (eVTOL) aircraft and drone development, as well as integrated solutions utilising its leading 5G network and digital expertise. The partnership was revealed in live demonstrations of eVTOL aircraft and drones powered by e& UAE’s 5G network.
Demonstrating its commitment to delivering outstanding customer service, e& UAE continued to drive innovation, expanding its market reach and opening the second AI-powered autonomous telecom store, ‘EASE,’ in Dubai Mall. The self-service telecom store is designed with cutting-edge technology to help customers seamlessly purchase products and services.
e& UAE has successfully implemented AI-driven solutions to enhance customer experience, resulting in over 30 per cent fewer technical calls and a 40 per cent reduction in technician visits.
In a strategic collaboration to foster economic growth, the company partnered with the Abu Dhabi Chamber of Commerce and Industry to empower Small and Medium Enterprises (SMEs), leveraging its expertise in digital technologies to facilitate digital transformation processes for SMEs in Abu Dhabi.
e& UAE brought Copilot for Microsoft M365, the transformative AI tool, to small and medium-sized businesses (SMBs) and enterprises. Copilot is an AI-powered assistant that integrates with various Microsoft 365 applications, seamlessly boosting productivity, creativity, and overall workflow efficiency while extending the data privacy and security of the Microsoft cloud.
Supporting Small and Medium Businesses, e& UAE celebrated business excellence by launching the third edition of its SMB Awards 2024, a benchmark for recognising and celebrating outstanding achievements of SMBs in the UAE.
Demonstrating its commitment to social responsibility and digital inclusion, e& launched an AI-powered browser extension called “Wider Web” to support an autism-friendly browsing experience. The free-to-use browser extension empowers autistic users and caters for their needs by offering a customisable, sensory-friendly web-browsing experience.
Marking an important step towards digitised education in the country, e& UAE launched its groundbreaking AI-powered platform, GoLearning. The e-learning platform redefines the learning experience, offering a vast library of over 10,000 accredited courses, including a generous selection of more than 4,000 free courses focused on professional and personal development. GoLearning empowers everyone to pursue endless learning opportunities and skill development, focusing on maintaining the highest quality content.
In its continuous effort to support young Emirati talents and empower them with opportunities in the private sector, e& held the 2024 edition of its virtual coding camp to enable students and teachers with the essential technical skills to navigate and succeed in today’s dynamic digital world. It also announced the opening of applications for the sixth cohort of its AI Graduate Programme, which is set to commence in September 2024.
In recognition of its efforts to provide a supportive work environment for employees, e& UAE attained the highest position in Brand Finance’s inaugural Employer Brand Report 2024 ranking as the Top Global Telecom Employer, marking yet another important milestone in its track record.
e& life
e& life, the business pillar of e& that enriches people’s digital lives, continued to embrace its vision of simplifying its services, releasing the updated version of the e& money app, which became the UAE’s number one fintech app in terms of monthly active users. e& money 2.0 now boasts full Arabic language support, making it accessible to a wider audience.
evision, the media and entertainment streaming arm of e& life, continued to enhance and develop its content library to meet the diverse requirements of MENA audiences. In the first half of 2024, evision recorded significant growth, surpassing 5.5 million subscribers. STARZ ON, its ad-supported streaming platform in the Middle East and North Africa, has been a key driver of growth.
The STARZ ON free experience was enhanced with a diverse range of content, including sports, Arabic and Turkish programming with Noor Play, and Mandarin and Korean programming with iQIYI. The strategic partnership with Noor Play also extends to cover a diverse range of premium content across Starzplay, eLife, SwitchTV and other e& platforms
To cater to the sub-continent audience, evision secured exclusive rights to the ICC Cricket World Cup and acquired exclusive rights to exciting Hotstar (Disney Star), Zee, and Viacom 18 content.
evision further solidified its entertainment offerings by signing multi-year deals with major studios including Sony Pictures Television and Amazon MGM. These deals bring the latest blockbusters, renowned classics, and family favourites from both cinema and television to Starzplay, eLife and Switch TV.
In addition, evision strengthened its sports portfolio by acquiring exclusive rights to UFC for the MENA region.
e& enterprise
e& enterprise remains a powerhouse for digital transformation in the private and public sectors. Its innovative tech solutions and enhanced digital services continue to empower businesses across industries to achieve their goals and accelerate growth.
e& enterprise marked a significant step towards regional digital transformation leadership. It expanded its global footprint by acquiring GlassHouse, a leading Turkish provider of managed cloud, business continuity, and SAP infrastructure services. This strategic move grants e& enterprise entry into the pivotal Turkish market, positioning it for significant growth and expansion.
In the first half of 2024, e& enterprise signed two landmark collaboration agreements with Burjeel Holdings, including the launch of a pioneering telemedicine services project and an MoU to transform delivery models and redefine healthcare in the UAE and beyond. This strategic collaboration represents a transformative approach to healthcare that prioritises accessibility, efficiency, and sustainability across the region.
Pioneering a new approach to digital payments, e& enterprise forged a strategic partnership with Fils. This partnership establishes a sustainable digital payments model, empowering companies to provide customers with greater transparency. Companies can now share the carbon footprint associated with each transaction, along with the option to offset emissions through reliable methods.
With Abu Dhabi Social Support Authority (ADSSA), e& enterprise developed the “House Visits and Interviews Management System.” marking a significant milestone in ADSSA’s digital transformation journey. The system streamlines social workers’ field visits, ultimately enhancing the efficiency and impact of social support services for low-income families in Abu Dhabi.
e& enterprise continues to champion digital innovation in the region. Through a strategic partnership with SAS, it brings cutting-edge AI solutions and advanced data analytics to businesses in the UAE and Saudi Arabia. This partnership empowers companies across various sectors to leverage the power of AI and data for operational improvements and informed decision-making. e& enterprise also signed an agreement with Dubai Public Prosecution (DPP) to develop the world’s first central digital system for remote investigation and litigation, streamlining the justice system and enhancing its efficiency and speed.
Reaffirming its commitment to accelerating Saudi Arabia’s digital transformation, e& enterprise entered a strategic partnership with the King Abdullah Financial District (KAFD) and the International Data Corporation (IDC). This project focused on analysing the Kingdom’s current digital landscape, e& enterprise’s investments in the region, and its alignment with the goals of Saudi Vision 2030. Creating jobs and boosting customer experience, e& enterprise opened a new state-of-the-art Contact and Customer Experience Centre in Riyadh equipped with the latest technologies to deliver exceptional customer service. The new facility is designed to support Saudisation and is expected to create over 1,500 new local job opportunities across administrative, technical, and specialist roles.
e& enterprise partnered with NICE to bring cutting-edge customer service solutions and the Contact Centre as a Service (CCaaS) platform to businesses in the UAE.
e& enterprise has joined forces with Payit, the leading e-wallet from First Abu Dhabi Bank, to streamline digital payment processes for businesses across the UAE. This strategic partnership leverages e& enterprise’s Payment as a Service (PaaS) platform to increase customer satisfaction and boost digital payment adoption rates.
Demonstrating its commitment to innovation, e& enterprise unveiled haifin, the new brand identity for its leading blockchain-based trade finance platform. Previously known as UAE Trade Connect, haifin simplifies and facilitates trade across the MENA region.
haifin welcomed three new members to its consortium which included two banks and one fintech, including Sharjah Islamic Bank which became the 14th bank to join the platform. Haifin is now ISO/IEC 27001:2022 certified and has 18 members including commercial banks, Islamic banks and fintechs.
e& enterprise, in collaboration with the National Health Insurance Company (Daman), has launched a global first – Hayakom, a revolutionary digital service chain for the health insurance sector. This innovative platform aims to significantly enhance customer service experiences within the UAE’s health insurance landscape.
e& international
e& international marked a significant step forward in its global expansion during the first half of 2024.
Uzbekistan’s Perfectum joined e& international’s Partner Market Programme in a strategic move designed to accelerate digital transformation within the country’s telecommunications sector. The programme offers Perfectum access to e& international’s extensive expertise and cutting-edge solutions. By leveraging this partnership, Perfectum can fuel business growth, drive innovation across industries, and play a key role in Uzbekistan’s digital future.
PTCL launched a new combined UPTCL app that covers PTCL, Ufone, and Flash Fibre in one app. The app is the first platform of its kind in Pakistan that serves as a single digital channel for wireless and fixed line customers to manage their connections, profiles, payments, and more.
e& Egypt launched e& Neo, in conjunction with Mashreq Bank , the first digital banking services in Egypt.
e& Egypt received the “Business Excellence Award – Egypt 2024”, earning special recognition for outstanding Culture and People Practices.
Onic, e&’s digital brand in Pakistan, secured a double victory at the Pakistan Digital Awards, clinching Best Mobile App and Digital Ambassador of the Year.
Etisalat Afghanistan acquired 15 MHz of spectrum in the 1800 and 2600 bands, holding the largest spectrum in the market.
e& capital
e& capital, the investment arm of e&, has become a major player in the Middle Eastern venture capital (VC) ecosystem. It has invested nearly US$ 150 million in startups that are shaping the future of technology in the MENA region and the world.
e& capital’s investments cut across various exciting technology-led industries, including AI, SaaS, edtech, healthtech, telecommunications, and entertainment, strategically complementing the group’s wide range of services. Key investments include Ikigai, an AI platform developed from MiT research that delivers highly accurate forecasts and time series predictions; Airalo, the global leader in travel eSIMs; and Traydstream, a platform digitising and automating the trade finance industry globally.
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