Dubai: Etisalat said its first-quarter net profit increased by eight per cent year on year to Dh2.2 billion on Sunday due to increased revenue from the Maroc Telecom consolidation, currency fluxations, and lower royalty charges.
The telecom operator’s consolidated revenues for the first quarter increased by 30 per cent to Dh12.9 billion compared to Dh9.9 billion during the same last year.
The consolidated EBITDA (earnings before interest, taxes, depreciation, and amortisation) for the first quarter stood at Dh6.6 billion, representing an increase of 33 per cent year on year and resulting in EBITDA margin of 51 per cent.
“The strong financial results in the first quarter of 2015 were not only built upon our strong performance in 2014, but also provides a solid foundation for the remainder of the year,” Ahmad Julfar, Group Chief Executive Officer of etisalat, said.
Continued revenue growth
Aggregate subscriber base rose 19 per cent year on year to 173 million. The net addition of 28 million subscribers was mainly a factor of consolidation of Maroc Telecom and strong growth in UAE, Nigeria, and Afghanistan.
“Continued growth in revenue, profits and subscribers in first quarter continues a pattern of growth that we have experienced over a long period. It is this solid foundation which allows us to move forward in confidence as the leading operator in emerging markets, delivering advancements in each of the countries we operate in,” Julfar said.
Etisalat shareholders approved the board’s recommendations to increase the authorised share capital to Dh10 billion, in addition to a full year cash dividend for fiscal year 2014 of 70 fils and a 10 per cent bonus share at the Ordinary General Assembly Meeting and Extraordinary General Assembly Meeting held on March 24, 2015.
