Stock - e&
Image Credit: Supplied

Dubai: In addition to recording higher number of subscribers and growth across its businesses, digital investments are paying off for global technology group e&. This is evident after it posted posted a 9 per cent rise in revenue for the first quarter of 2024, while net profit increased 7 per cent.

While revenue during the quarter hit Dh14.2 billion, net profit rose to Dh2.3 billion, the tech-telecom group reported, in addition to EBITDA (core earnings) of Dh6.4 billion during the period, which grew 3 per cent year-over-year, and resulted in an EBITDA margin of 45 per cent.

The number of e& UAE subscribers reached 14.5 million in Q1 2024, while group subscribers reached 173 million, representing an increase of 5 per cent over the same period last year. The number of mobile subscribers too increased by 5.3 per cent on a yearly basis to 12.8 million subscribers.

The telecomes operator attributed growth in its mobile subscriber base to "solid year-on-year growth in both the prepaid and postpaid segments". Additionally, eLife subscriptions increased annually by 5.1 per cent to 1.2 million subscribers on the fixed platform.

Progressive business model

Jassem Mohamed Bu Ataba Alzaabi, Chairman of e& said: “e& reported strong performance in Q1 with consolidated net profits reaching Dh2.3 billion, a growth of 7 per cent year-over-year. This was driven by our focus to build a progressive business model represented by our well-positioned verticals to grow and succeed throughout the year.”

Hatem Dowidar, Group Chief Executive Officer of e&, said: “e&’s robust performance in Q1, with consolidated revenue growth of 9 per cent to Dh14.2 billion while consolidated EBITDA reached Dh6.4 billion, growing 3 per cent year-over-year. This is a testament of the strategic choices we’ve made in diversifying our portfolio, fortifying our brand, and cementing partnerships.”

During the first quarter, e& and its partners in the Global Telco AI Alliance announced a joint venture to develop telecom-specific Large Language Models to boost customer service through advanced AI solutions.

During the last quarter, the company also made a commitment to the International Telecommunication Union’s Partner2Connect Digital Coalition, and pledged to invest $6 billion between this year and 2026 in technological advancement, infrastructure development and digital solutions to extend connectivity to communities across its markets.