Emirates Integrated Telecommunications Company (DU) Q3 2024 earnings summary

Executive summary

• Achieved strong operational and financial performance in Q3 2024, with confidence in the outlook and reaffirmed guidance.

• Revenue for the nine-month period ended 30 September 2024 reached AED 10.76 billion, up from AED 10.08 billion year-over-year.

• Net profit for the period was AED 1.90 billion, a significant increase from AED 1.27 billion in the prior year.

• All business segments contributed to revenue growth, supported by a revamped B2B portfolio and strategic partnerships.

• The financial statements were reviewed by PwC, with no material misstatements identified.

Financial highlights

• Revenues rose 9.1% year-over-year to AED 3,589 million in Q3 2024, with growth in both service and other revenues.

• EBITDA increased 16.9% year-over-year to AED 1,734 million, with margin improving to 48.3%.

• Net profit surged 42.7% year-over-year to AED 719 million in Q3 2024, reflecting higher EBITDA and post-EBITDA items.

• Net cash generated from operating activities was AED 2.78 billion for the nine months, up from AED 2.54 billion year-over-year.

• Operating free cash flow grew 27.9% year-over-year to AED 1,223 million.

Outlook and guidance

• 2024 revenue growth guidance set at 5–7% year-over-year.

• EBITDA margin expected above 43% for 2024, up from 42.5% in 2023.

• The Group is subject to a new federal royalty and corporate income tax regime, with an estimated average annual effective tax rate of 43.7% for 2024.

• Focus remains on profitable growth, digitalization, and IT transformation.

• Management is assessing the impact of new IFRS standards effective in future years.