Emirates Telecommunications Group Company (EAND) Q1 2026 earnings summary

Executive summary

• Achieved robust financial and operational results in Q1 2026 despite regional geopolitical volatility, with limited impact on network and service continuity.

• Consolidated revenue rose 15.1% year-over-year to AED 19,417 million for Q1 2026, driven by growth across all markets, supported by network upgrades and 5G spectrum acquisition in Pakistan.

• Profit attributable to owners fell 46.2% year-over-year to AED 2,882 million, mainly due to a high base in the prior year and increased federal royalty and tax expenses.

• Upward revision for 2026 dividend per share (DPS) reflects value creation.

• Earnings per share decreased to AED 0.33 from AED 0.62 in Q1 2025.

Financial highlights

• Revenue reached AED 19.4bn, up 15.1% year-over-year (+11.3% in constant currency).

• EBITDA rose to AED 8.6bn (+16.5% y/y), with a consolidated margin of 44.1% and telco margin of 48.2%.

• Net profit was AED 2.9bn, up 3.9% y/y (excluding prior year gain on Khazna sale); profit attributable to owners fell 46.2% y/y due to higher royalty and tax.

• Capex was AED 2.8bn, up from AED 2.4bn in Q1 2025.

• Operating free cash flow (OFCF) reached AED 6.5bn.

Outlook and guidance

• FY 2026 guidance: revenue growth of 8–10% and EBITDA growth of 4–5% in constant currency.

• EPS expected at ~1.35 AED; capex/revenue ratio projected at 16–17% (excluding spectrum & licenses).

• Financial guidance unchanged; disciplined capital allocation and commitment to dividend policy.

• Management expects continued resilience in core businesses despite regional geopolitical tensions, with no material impairment or going concern uncertainty identified.