Du Strengthens Q1 2026 Performance with 6.9% Revenue Growth to AED 4.1 Billion

Dubai, UAE: Emirates Integrated Telecommunications Company PJSC, known as du, has reported its financial results for the first quarter ending March 31, 2026. The company experienced a solid start to the year, achieving a revenue increase of 6.9% to AED 4.1 billion. This growth was particularly notable given the challenges faced in March due to external geopolitical factors.

Strong Operational Performance Amid Challenges

Du’s performance in January and February was characterized by effective execution across its core business segments, demonstrating the resilience of its operational model. Despite the adverse conditions in March, which included a decline in tourist inflows and inbound roaming activity, du managed to maintain robust financial metrics. The company achieved a record EBITDA margin of 49.5%, and net profit rose by 15.5% to AED 0.8 billion.

Fahad Al Hassawi, CEO of du, emphasized the company’s strong fundamentals and commercial momentum across mobile, fixed, and ICT sectors. He noted that while the first two months of the year reflected a favorable operating environment, March brought about challenges that affected subscriber growth and average revenue per user (ARPU).

Q1 2026 Financial Highlights

• Revenue Growth: Du’s revenue for Q1 2026 reached AED 4.1 billion, a 6.9% increase year-on-year. This growth was driven by strong performances in the mobile and fixed segments, as well as continued expansion in digital services.
• EBITDA and Net Profit: The company reported an EBITDA of AED 2.0 billion, marking an 11.7% increase, with a corresponding EBITDA margin of 49.5%. Net profit also saw a significant rise of 15.5% year-on-year, reaching AED 0.8 billion.
• Cash Flow: Operating free cash flow grew by 14.2% to AED 1.7 billion, reflecting the higher EBITDA and disciplined capital deployment strategies.
• Capital Expenditure: Du’s capital expenditure for the quarter was AED 386 million, maintaining a capital intensity of 9.4%. The focus remained on enhancing mobile networks and expanding fiber infrastructure.

Subscriber Base Growth

In Q1, du’s mobile subscriber base grew by 6.1% year-on-year to 9.7 million customers. This growth was supported by a strong performance in the first two months, despite a more volatile environment in March.

• Postpaid Segment: The postpaid customer base increased by 9.6% year-on-year to 2.0 million subscribers, driven by strong demand across both consumer and enterprise segments.
• Prepaid Segment: The prepaid subscriber base grew by 5.2% to 7.7 million customers, primarily due to resident demand and customized value plans.

The fixed subscriber base also showed resilience, growing by 6.3% year-on-year to 745,000 customers, supported by du Home Wireless and ongoing network expansion.

Future Outlook and Strategic Initiatives

Du continues to navigate the evolving market landscape with agility. The company has successfully refinanced a revolving credit facility of AED 2 billion, securing improved terms and a seven-year tenor, which enhances its financial flexibility.

Al Hassawi stated that du remains committed to monitoring business conditions closely and adapting its strategies as needed. The company is maintaining its full-year guidance for now, as it seeks further clarity on market dynamics.

Du’s comprehensive portfolio of services, including mobile, fixed, broadband, and fintech solutions, positions it well for future growth. The company aims to leverage its digital-first approach, powered by advanced technologies, to continue driving operational excellence and supporting the UAE’s digital transformation.

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Published on 2026-04-22 20:29:00 • By the Editorial Desk