UAE Business: Yahsat H1 net income soars 50.7pc; revenue at record – Gulf Digital News

UAE Business: Yahsat H1 net income soars 50.7pc; revenue at record – Gulf Digital News

Al Yah Satellite Communications Company (Yahsat), the UAE’s flagship satellite solutions provider, has seen first-half (H1) net income soar 50.7% to AED167 million ($45 million) year-on-year, driving a strong net margin of 22.1%.

Underpinned by double-digit growth in Managed Solutions and Mobility Solutions, Yahsat posted record H1 revenue of AED755 million, up 8.1% year-on-year.

Adjusted EBITDA was AED448 million, up 5.3% year-on-year, delivering a robust margin of 59.3%.

Future revenue

Contracted future revenue is more than AED7.7 billion, equivalent to 5.2 times FY2021 annual revenue.

The company’s strong financial position and high visibility on future cash flows underpin its ability to invest in growth and sustain an attractive dividend policy.

It is on track to grow FY2022 dividend by at least 2% to 16.12 fils [$4.39 cents] per share or AED393 million, split into two equal installments payable around October 2022 and May 2023.

The lower end of FY2022 revenue guidance increased to AED1.54 billion from AED1.52 billion; all other guidance remain unchanged.

Bright second quarter

Yahsat’s growth momentum continued in Q22022 with revenue of AED392 million, an increase of 6.9% year-on-year. This resulted in H122 revenue growth of 8.1% year-on-year to AED755 million. Both Managed Solutions and Mobility Solutions performed exceptionally well with H122 revenues increasing by 35.1%