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UAE telco EITC Q3 revenues hit $782m as data centre portfolio grows

Equinix and datamena land contract for service provision as the telco grows footprint to five facilities and says it is not done yet.

By João Marques Lima

Founder and Editor, The Tech Capital

3 Mins

October 21, 2021 | 2:27 AM BST

UAE telco EITC Q3 revenues hit $782m as data centre portfolio grows

Fahad Al Hassawi, CEO of EITC. Source: EITC

Emirates Integrated Telecommunications Company’s (EITC) has reported a 6.9% year-on-year (YoY) revenue growth for Q3 2021 as sales reached AED2,874 million (US$782 million).

However, EBITDA retreated by 4.9% YoY to AED1,100 million and net profit declined 7.1% to AED283 million.

The company said the drop in profit was due to its “ambitious investment programme” and the divestment of Khazna Data Center in 2020, which is now operated by Etisalat Group and G42 in a recently created joint venture.

Fahad Al Hassawi, CEO of EITC, said: “Our fixed services business delivered another solid quarter. Broadband net-adds accelerated to 52,000 thanks to an attractive service offering. In addition, we see corporate demand for fixed services returning. The refreshed prepaid mobile tariffs are pushing gross-adds on the prepaid segment towards pre-pandemic levels.

“Our enhanced post-paid tariff plan is stimulating usage and supports a pathway to ARPU growth. This quarter is an inflection point for mobile service revenues: we renewed with nominal growth (+0.7 per cent quarter-on-quarter) after three consecutive quarters of decline”

As the company announced its financial results, it also said its subsidiary du has launched two new data centres with datamena and Equinix (NASDAQ: EQIX) aimed at enterprise customers across the UAE.

The facilities are located in Kizad Abu Dhabi, a business and industrial park, and DSO Dubai, known as Silicon Oasis.

The introduction of the centres is part of du’s plans to expand its nationwide data centre footprint.

Al Hassawi said: “As digital transformation continues to accelerate exponentially, those we serve require cutting-edge capabilities and infrastructure to realize their aspirations and deliver on their commitments to customers. At du, we are proud to uphold our support for the national enterprise community with these new facilities.

“The unveiling of Kizad Abu Dhabi and DSO Dubai is the latest representation of our enduring determination not only to drive innovation, but also provide enterprises with the tools they need to build comprehensive digital platforms crucial to present and future business success.

“The UAE’s digital ecosystem and status as a regional enabler of digital transformation will be elevated further by the invaluable impacts that come from these new facilities and we are grateful for the enthusiasm demonstrated by local enterprises.”

With the respective launches of DSO Dubai and Kizad Abu Dhabi, du’s portfolio of data centres now includes five in total across Dubai and Abu Dhabi.

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João Marques Lima

Founder and Editor, The Tech Capital

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