Etisalat Group posted its consolidated financial statements for the 12 months ending December 31 2020.
The Group’s twelve month consolidated revenues reached AED 51.7 billion, while consolidated net profit after Federal Royalty for the twelve month amounted to AED 9.0 billion ($2.45 billion), an increase of 3.8% compared to last year. The increase has been attributed to strong growth in the international operations that outweighed the decline in the UAE operations.
In the UAE, the subscriber base reached to 12.2 million subscribers, while Etisalat Group aggregate subscribers reached 154 million subscribers representing a year on year increase of 3.6%.
Consolidated EBITDA amounted to AED 26.4 billion an increase of 0.3% compared to prior year, and resulting in EBITDA margin of 51.1%.
The board proposed cancellation of the share buyback program and instead proposed a one-time special dividend of AED 0.40 per share. As a result, the total dividend per share for the full year 2020 is AED 1.20
Commenting on the results, H.E. Obaid Humaid Al Tayer, Chairman of Etisalat Group, said: “As we begin our journey into a new digitally empowered future, 2020 was a true testimony to Etisalat Group’s resilience and agility.
Etisalat Group is well positioned for the future and we are confident in our ability to maintain our exceptional financial performance. In addition to sustaining our total dividend of AED 0.80 per share, we are pleased to be proposing a special one-time dividend of AED 0.40, bringing the total dividends for the year to AED 1.20 per share representing a dividend payout ratio of 115% and a high dividend yield for year 2020. This is a testament to our commitment of enhancing shareholder value.
I would like to extend my gratitude and appreciation to the UAE leadership, an inspiration and motivation behind every success in our journey. Thanks to our customers for allowing us to be part of their lives, our stakeholders for their continuous trust and Etisalat employees and management team for their efforts and unwavering commitment towards realising our vision of ‘Driving the Digital Future to Empower Societies.”
Meanwhile, Eng. Hatem Dowidar, CEO of Etisalat Group, said, “Our journey in 2020 was transformational with an unprecedented pandemic that reshaped humanity, created a new ‘irreversible’ normal, shattered the digital adoption divide, and accelerated the future.
“We have achieved many historical milestones, from being recognised as the fastest mobile network in the world, to being crowned the strongest brand in Middle East and Africa and the most valuable telecom portfolio brand for a fifth year in a row.
“Etisalat is thankful to the visionary leaders of the UAE for their continuous support of the telecom sector and we owe our customers and shareholders immense appreciation for their trust and support. Thanks to our dedicated teams for going far and beyond in serving our customers, sustaining premium services in times of uncertainty and in times of prosperity."
Credit Ratings by agencies S & P Global and Moodys affirmed Etisalat Group’s high credit rating at AA-/Aa3 with stable outlook.