Home Tech e& Tech Company Sees 3% Profit Increase in 2023 Amid Strong Economic Expansion

e& Tech Company Sees 3% Profit Increase in 2023 Amid Strong Economic Expansion

Revenue increases by 2.5% fueled by the growing demand for digital services.

by Soofiya

In the dynamic landscape of technology and telecommunications, one company stands out for its resilience and growth. e&, formerly known as Etisalat Group, has reported a remarkable 3% increase in its net profit for the year 2023, propelled by the vigor of strong economic expansion across its key markets.

With its headquarters in the United Arab Emirates, e& has long been a pivotal player in the region’s telecoms and technology sector. The company’s recent financial results, disclosed in preliminary reports to the Abu Dhabi Securities Exchange, paint a picture of steady progress and strategic adaptability.

In the twelve months ending December, e&’s net profit attributable to shareholders surged to over Dh10.3 billion ($2.8 billion), a notable uptick from the previous year’s Dh10 billion. This growth trajectory is indicative of the company’s adept navigation through the challenges and opportunities presented by a rapidly evolving global economy.

Despite the prevailing uncertainties, e& has demonstrated resilience and agility, with revenue climbing by approximately 2.5% annually to Dh53.8 billion. Moreover, the company’s total assets witnessed a commendable rise of about 1% to Dh146.83 billion, underscoring its commitment to sustained value creation and long-term stability.

e& attributes its success in 2023 to a combination of factors, chief among them being its exceptional commercial performance and the robust overall economic growth witnessed in the UAE and international markets. This growth was further fueled by a burgeoning demand for digital services, a trend that e& has been keen to capitalize on.

While the company acknowledges challenges such as foreign exchange rate volatility in some of its international markets, it remains steadfast in its commitment to innovation and expansion. Leveraging its solid financial foundation and strategic vision, e& is exploring avenues for growth, including potential acquisitions or partnerships aimed at diversifying its portfolio and amplifying its presence both locally and overseas.

Looking ahead, industry analysts project e& to continue its trajectory of success, with Moody’s Investors Service forecasting the company to lead revenue growth in the GCC telecoms sector. This optimistic outlook is bolstered by e&’s recent strategic initiatives, including acquisitions such as the purchase of Telenor’s Pakistani unit, signaling its intent to capitalize on emerging opportunities in new geographies.

Moreover, e&’s investments in startups like Maxbyte underscore its commitment to staying at the forefront of technological innovation, as it seeks to harness the potential of the Fourth Industrial Revolution across diverse sectors.

In conclusion, e&’s 3% profit increase in 2023 amidst a backdrop of strong economic expansion underscores not only its financial resilience but also its unwavering commitment to innovation, growth, and delivering value to its stakeholders. As the company continues to navigate the ever-changing landscape of the tech industry, its strategic foresight and adaptability position it as a formidable force poised for sustained success in the years to come.

e& (formerly known as Etisalat Group), a telecommunications and technology company based in the UAE, has announced a 3% increase in its net profit for 2023, driven by robust economic growth in its markets. The company’s net profit attributable to shareholders reached over Dh10.3 billion ($2.8 billion) for the twelve months ending in December, up from Dh10 billion in 2022, according to preliminary results filed with the Abu Dhabi Securities Exchange.

Revenue also saw a 2.5% annual climb to Dh53.8 billion, while total assets rose by approximately 1% to Dh146.83 billion. Earnings per share increased to Dh1.18 from Dh1.15 in the previous year.

The company credited its strong performance in 2023 to exceptional commercial activity and overall economic expansion in both the UAE and international markets, with a surge in demand for digital services. However, it noted that revenue was affected by fluctuations in foreign exchange rates in the markets it serves abroad.

Despite these challenges, e& remains optimistic, particularly in light of its strategic moves to diversify its portfolio and expand locally and internationally through acquisitions and partnerships. Moody’s Investors Service projects e& to lead revenue growth in the GCC telecoms sector, as the company solidifies its presence in new international markets.

e&’s recent acquisitions, including the purchase of Telenor’s Pakistani unit and a majority stake in Careem Technologies, highlight its commitment to expanding its digital offerings and capitalizing on emerging opportunities in the digital economy. Additionally, through investments in startups like Maxbyte, e& is positioned to leverage Fourth Industrial Revolution solutions across various sectors, further strengthening its foothold in the evolving technological landscape.

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