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Abu Dhabi, May 8 / Today, Al Yah Satellite Communications Company “Yahsat” announced its consolidated financial results for the first quarter of the year 2023 ending on March 31, 2023. The company maintained continuous growth in revenues, EBITDA, and net income, by 2%, 4% and 35%, respectively, on an annual basis.
Normalized EBITDA and net normalized income increased by 8% and 46%, respectively.
The company’s revenues during the first quarter of 2023 reached 369 million dirhams ($100 million) for the first time in its history, which mainly reflects the strong performance of the company, especially the “managed solutions” sector, as it recorded a significant growth in its revenues by 29% year on year, reaching to 72 million dirhams, “20 million dollars.”
Moreover, the “Infrastructure” sector, which is the largest business segment of the group, maintained stable and predictable returns, as its revenues reached 220 million dirhams (60 million dollars), an increase of 1% compared to the same period last year.
Normalized EBITDA increased by 8% year-on-year to AED 231 million ($63 million), achieving an impressive margin of 63%. It also achieved a growth in net printed income by 46% year-on-year to reach 108 million dirhams (29 million dollars), achieving a strong margin of 29%, while future contracted revenues amounted to 7.0 billion dirhams (1.9 billion dollars), equivalent to 4.4 times Revenue for the past twelve months.
The company is moving forward to increase the annual dividend for the year 2023 by at least 2% to reach 16.46 fils (4.48 cents) per share, which is equivalent to 402 million dirhams (109 million dollars). Based on the last closing price of the share, this means an annual return for dividends of more than It is more than 6%, which is among the highest returns provided by public shareholding companies listed in the financial markets of the UAE.
Ali Al Hashemi, Group Chief Executive Officer, Yahsat, said: “Yahsat has recorded a strong start to the new year amid continued focus on strengthening both our core government business and commercial sectors, while continuing our efforts to optimize operational costs across all sectors. The upcoming Thuraya satellite will contribute The NGS-4, which is scheduled to be launched next year, in addition to the possibility of launching two potential satellites, Al Yah 4 and Al Yah 5, will reinforce this trend and enable the company to seize unique growth opportunities.” He added, “We are also working on implementing several previously announced initiatives on our part in cooperation with local and international partners in various sectors, including the Internet of Things via satellite, vertical integration of the value chain, direct communication services between satellites and mobile devices, and ground monitoring activities.”
He said, “The satellite sector attracts huge investments that play an important role in launching many new and distinctive products and applications. Yahsat is in an ideal position to achieve its future ambitions and maintain sustainable growth in the long term, thanks to the company’s contracted future revenues of 7 billion dirhams ($ 1.9 billion), or 4.4 times the revenues of the previous 12 months, and the strength of the balance sheet.
