UAE telecommunications giant e& has kickstarted 2025 with explosive financial results, announcing a 129.9% year-on-year leap in net profit to AED 5.4 billion ($1.47 billion) for the first quarter. The company’s revenue climbed to AED 16.9 billion ($4.6 billion), marking an 18.7% annual growth, while EBITDA rose 15.4% to AED 7.4 billion ($2.02 billion). This performance cements e&’s position as a global tech leader, fueled by subscriber growth, strategic divestments, and aggressive AI integration across its operations.
Financial Performance Exceeds Market Expectations
e&’s Q1 results shattered forecasts, with its net profit surge largely attributed to the $2.2 billion divestment of its 40% stake in Khazna Data Centers, a move that strengthened its balance sheet and reduced group debt. Excluding this one-time transaction, net profit still grew 19.1% YoY, demonstrating core operational resilience.
The telecom-to-tech conglomerate expanded its total subscriber base by 12.9% to 194.8 million, with its UAE operations alone serving 15.3 million customers. This growth reflects rising demand for high-speed connectivity and digital services, particularly in markets like Pakistan, where subsidiary PTCL Flash Fiber dominates the FTTH sector with over 700,000 subscribers.
“These results are proof points, not aspirations,” said Group CEO Hatem Dowidar, emphasizing disciplined execution and a customer-centric strategy. “We’re building a digital ecosystem that empowers individuals, businesses, and governments globally.”
Strategic Moves Reshape Global Footprint
Portfolio Optimization and Market Expansion
e&’s Khazna divestment exemplifies its strategy to prioritize high-growth sectors. The proceeds helped slash group debt while funding expansions into Europe through the E&PPF Telecom Group, which recently agreed to acquire Serbia Broadband (SBB), a major Central European telecom and media operator.
In Africa, the company facilitated the landing of the 10,000km Africa-1 submarine cable in Pakistan, enhancing connectivity between Asia, the Middle East, and Europe. Morocco saw accelerated 5G and fiber rollout through renewed partnerships between e&’s Maroc Telecom and Inwi, pending regulatory approvals.
Brand Power and AI Leadership
Fresh off being named the World’s Fastest Growing Brand by Brand Finance, e&’s portfolio value now exceeds $20 billion. The group has embedded AI across its infrastructure, notably launching an AI-powered Social and Climate Platform with the UNDP and GSMA. This tool converts real-time data into policy insights for Arab states, aligning with UAE’s sustainability goals.
UAE Operations: Connectivity Redefined
Next-Gen Home and Mobile Solutions
e& UAE introduced Neo Home-1 Gbps fiber plans with customizable TV add-ons to meet surging demand for smart home connectivity. Partnering with Samsung, it rolled out AI-enhanced mobile experiences, while a new Kids SIM with parental controls addresses digital safety concerns.
The company also completed Phase 1 of its AI-powered private cloud integration using Intel and Cisco technologies, boosting operational efficiency. On the enterprise front, Microsoft’s M365 Copilot deployment is automating workflows, with Dowidar noting, “AI isn’t just a tool; it’s reshaping how we innovate”.
Fintech and Content Milestones
e& money surpassed 1 million issued cards, leveraging AI to streamline remittances. Its STARZ ON streaming service hit 8 million installs, complemented by Evision Studios’ Ramadan originals like Flavors from the Heart content plays, deepening audience engagement.
Enterprise and International Growth Accelerates
Healthcare and Banking Innovations
e& enterprise partnered with RAIN Technology to launch Orva, the world’s first AI voice assistant for operating rooms. Currently deployed across Middle Eastern and African hospitals, Orva optimizes surgical workflows and reduces costs. In South Africa, subsidiary haifin collaborated with Vodacom to launch Saif-a trade finance platform derisking banking transactions.
European Recognition and Middle East Dominance
e& PPF Telecom Group earned accolades in Europe, with Yettel Hungary named the Fastest Mobile Network by Ookla and Bulgaria securing its eighth consecutive umlaut Best-in-Test award. In Saudi Arabia, Mobily saw a 140% brand value increase over five years, while Egypt launched Wi-Fi calling services in partnership with local regulators.
Leadership Eyes Sustainable Tech Dominance
Dowidar attributes e&’s success to its dual focus on financial discipline and futuristic investments: “From deploying the region’s most advanced 5G networks to expanding across three continents, we’re shaping the digital future with intent.”
The group’s Fujairah SmartHub Campus added a fourth Tier-III data center this quarter, boosting the UAE’s cloud capabilities and interconnectivity. With 194.8 million subscribers and AI permeating every business unit, e& is poised to maintain its growth trajectory through 2025.
As Hatem Dowidar concluded, “We’re not just growing-we’re building a blueprint for global tech leadership.” For investors and industry observers, e&’s Q1 performance signals a telecom titan successfully pivoting to become an AI-driven tech powerhouse.
