Etisalat Q3 revenue up 20%

30 Oct 2013

Abu Dhabi-based telecoms group Emirates Telecommunications Corporation (Etisalat) has reported consolidated revenues of AED9.593 billion (USD2.6 billion) for the third quarter of 2013, an increase of 20% from AED8.008 billion in the year-ago period. In the company’s home market, revenues totalled AED6.165 billion in the three months ended 30 September 2013, up by 13% year-on-year thanks to customer acquisitions and an increase in data and handset sales, but domestic turnover was 2% lower than 2Q13, which was attributed to ‘seasonality and the impact of Ramadan’. International sales rose 41% year-on-year to AED3.383 billion; Etisalat noted that revenues at Egyptian unit Etisalat Misr declined 14% year-on-year to AED1.115 billion, mainly due to the currency devaluation against the dirham. Etisalat’s Africa cluster contributed AED699 million (up 1% year-on-year), while Asian operations accounted for sales of AED1.569 billion in 3Q13 (up 285%), boosted by the inclusion of Etisalat’s business in Pakistan (PTCL) with effect from 1 January 2013. Etisalat, which is 60% owned by the UAE government, said that consolidated EBITDA climbed 9% from AED4.221 billion in the three months ended 30 September 2012 to AED4.617 billion twelve months later, mainly due to revenue growth in the UAE and consolidation of PTCL. Domestic EBITDA accounted for AED3.578 billion of the total (up 9% year-on-year), while international consolidated operations contributed AED971 million (an increase of 26% versus 3Q12). Consolidated net profit after royalty fell 18% from AED2.213 billion in the third quarter of 2012 to AED1.825 billion in the same period a year later, attributed to the sale of part of its stake in XL Axiata in September 2012; adjusted for this one-off item, net profit after royalty would have increased 2%.

At the end of September 2013 Etisalat reported a total of 144 million aggregate subscribers, an increase of 11% from 130 million a year earlier. In the UAE, total active customers reached 10.2 million (up 14%), including 8.3 million mobile customers (an increase of 17% year-on-year, attributed to successful promotional campaigns and the launch of new products and services), 900,000 fixed broadband customers (up 12%) and 600,000 ‘eLife’ double- and triple-play subscribers. Africa cluster subscribers meanwhile grew 6% year-on-year to 12.0 million, while customers in the group’s Asia segment increased by 28 million over the twelve-month period to 36.5 million, thanks to the consolidation of Etisalat’s Pakistan operations.

United Arab Emirates, Etisalat UAE