Sony Pixel Power calrec Sony

Yahsat Reports Strong Third Quarter Results for 2023

07/11/2023

Third quarter revenues grew 8% versus prior year, second highest on record

Nine-month revenues and Normalised EBITDA increased 3% underpinned by double digit growth in Mobility Solutions

Contracted future revenues surged to a record AED 25.3 billion [USD 6.9 billion] or 15.7 times last twelve-month revenues following the award of Yahsat's largest ever Government mandate valued at AED 18.7 billion [USD 5.1 billion]

Abu Dhabi, United Arab Emirates, 7 November 2023: Al Yah Satellite Communications Company PJSC ( Yahsat or the Group ), the UAE's flagship satellite solutions provider listed on the Abu Dhabi Securities Exchange ( ADX , under symbol: YAHSAT, ISIN: AEA007501017) announced today its consolidated financial results for the nine months ended 30 September 2023.

Revenue and Normalised EBITDA grew 3% for the first nine months of the year versus the prior year to reach

AED 1.2 billion [USD 323 million] and AED 713 million [USD 194 million], respectively. Net Income more than doubled whilst Normalized Net Income was in line versus the prior year period at AED 274 million [USD 75 million].

Underpinning this impressive performance were historically strong results in Mobility Solutions, the Thuraya business providing mobile satellite services using L-band spectrum, which recorded revenue growth for the nine-month period of 22% and third quarter growth of 81% versus the prior year, driven by higher equipment sales and service revenues. Meanwhile Infrastructure, the Group's largest segment providing communications capacity to the UAE Government by means of an index-linked long-term contract, continued to grow its year-on-year revenues by 1%. Managed Solutions, the Group's second largest segment, providing complete value-added satellite communications solutions, primarily to the UAE Government and related entities, reported slightly lower revenues mainly due to an exceptionally strong comparative period although remains well positioned to deliver full year revenues in line, or better, than prior year. Data Solutions, offering satellite-based broadband data solutions, saw marginally lower revenues from fewer equipment sales but recorded a significant improvement in underlying operating profitability.

Highlights for the nine-month period include:

Revenue of AED 1.2 billion [USD 323 million], up 3% year-on-year.

Normalised EBITDA of AED 713 million [USD 194 million], up 3% year-on-year, with a strong margin of 60% (prior year 60%).

Normalised Net Income (profit) of AED 274 million [USD 75 million], in line with the prior year period and maintaining a healthy margin of 23% (prior year 24%).

Contracted future revenue of AED 25.3 billion [USD 6.9 billion], equivalent to 15.7 times last-twelve-month revenue and representing a multi-fold increase versus year end 2022 (of AED 6.2 billion [USD 1.7 billion] or 4.6x last twelve-month revenue).

Yahsat's highest ever mandate awarded by the UAE Government during the quarter worth AED 18.7 billion [USD 5.1 billion] for satellite capacity and managed services of which AED 3.7 billion [USD 1 billion] will be received in advance.

Strong cash generation with Discretionary Free Cash Flow of AED 627 million (USD 171 million), 6% lower versus prior year on account of higher non-satellite capital expenditure related to Thuraya new product development programmes.

Historically strong balance sheet with record negative Net Debt of more than AED 583 million [USD 159 million], total available liquidity of AED 2.6 billion [USD 719 million] and long-term visibility of future cash flows up to 2043, supporting Yahsat's future investment in organic growth (Al Yah 4 and Al Yah 5) and opportunistic acquisitions, without impacting its attractive progressive dividend policy.

Positive net finance income of AED 36 million [USD 10 million] benefiting from higher interest rates on short-term deposits versus prior year.

On track to grow full year 2023 dividend by at least 2% to 16.46 fils [4.48 US cents] per share or AED 402 million [USD 109 million] based on the last closing share price, this continues to imply an annualised dividend yield of well over 6%, amongst the highest currently offered by UAE listed stocks.

Guidance for full year revenue, EBITDA, and cash capex and investments remain unchanged, whilst guidance for Discretionary Free Cash Flow is increased to a range of AED 514-588 million [USD 140-160 million] from AED 477-550 million [USD 130-150 million].

Ali Al Hashemi, Group Chief Executive Officer of Yahsat, commented: The third quarter has been one of several historic achievements which reinforce the company's future growth trajectory. Our reported revenue growth for the nine-month period underpinned by one of the strongest third quarters on record has resulted in improved financial guidance for 2023 and means that we are well positioned to record our strongest ever performance for the full year. Our financial position with record low leverage has never been stronger and continues to support our attractive progressive dividend policy. The construction of the Thuraya-4 NGS satellite remains on track for launch in 2024 and entry into service in H1 2025. with new advanced capabilities that will allow us to offer additional applications to our customers. Our largest ever contract award during the quarter an AED 18.7 billion [USD 5.1 billion] satellite capacity and managed services mandate from the UAE Government that includes the procurement of two new satellites, Al Yah 4 and Al Yah 5, has propelled our contracted future revenues to an all-time high and will support our core government business going forward whilst securing significant predictable cashflows all the way out to 2043.

This is a very exciting time for Yahsat. These achievements continue to differentiate our investment case amongst regionally-listed p
LINK: https://www.yahsat.com:443/en/news-and-media/news/2023/yahsat-reports-...
See more stories from yahsat

More from Yahsat

21/02/2024

Yahsat sets the bar high for global connectivity as it unveils Project SKY', an ambitious...

The industry disruptive strategy is primed to transform the lives of billions of...

20/12/2023

Introducing Space42, a new AI-powered space technology champion with global reach, and its...

Abu Dhabi, 20 December 2023: Further to the announcements made by Bayanat AI PLC...

19/12/2023

Bayanat and Yahsat boards recommend merger to create an AI-powered space technology champi...

The combination will bring together complementary capabilities to create a UAE-b...

27/11/2023

Yahsat to Demonstrate Space Technologies' Critical Role in Empowering Climate Solutions du...

Yahsat's next-generation climate tech solutions to support efforts to mitiga...

21/11/2023

Thuraya collaborates with Norway-based AnsuR Technologies to distribute its advanced video...

Asmira video compression technology delivers advanced capabilities to end users ...

16/11/2023

EDGE Selects Yahsat to Provide Satellite Communication Solutions for its REACH-S Airborne ...

Yahsat's reliable and secure connectivity solutions to be installed on EDGE&...

15/11/2023

Yahsat, Bayanat and ICEYE Expand SAR Satellite Fleet to Seven Spacecraft Covering the Midd...

Dubai, 15 November, 2023: Bayanat (a leading provider of AI-powered geospatial s...

07/11/2023

Yahsat Reports Strong Third Quarter Results for 2023

Third quarter revenues grew 8% versus prior year, second highest on record Nine-month revenues and Normalised EBITDA increased 3% underpinned by double digit g...

30/10/2023

Yahsat Becomes the First UAE Space Technology Company to Join the United Nations' Global I...

The United Nations Global Compact (UNGC) is the world's largest corporate su...

23/10/2023

Thuraya and YahClick Partner with Gate for Technologies Co. Ltd (G4T) to Boost Satellite-e...

Service partnership agreement covers vital sectors including government, telemed...

17/10/2023

Thuraya to revolutionize shipping container transport with Cypod Solutions' industry-first...

The innovative IoT Product provides tracking, locking and multiple sensing featu...

12/10/2023

Yahsat to showcase innovative satellite enabled solutions during GITEX 2023

The company is set to forge several new partnerships with leading companies to enrich its portfolio of Internet of Things (IoT) and Artificial Intelligence (AI)...

22/09/2023

Yahsat awarded AED 18.7 billion [USD 5.1 billion] satellite capacity and managed services ...

Abu Dhabi, United Arab Emirates, 22 September 2023: Al Yah Satellite Communicati...

20/09/2023

Yahsat increases interim cash dividend to AED 201 million (8.23 fils per share) for the fi...

On track to grow dividends by at least 2% to a total of AED 402 million [USD 109...

11/09/2023

YahClick Partners with NIGCOMSAT to Deepen Broadband Penetration in Nigeria

Partnership aims to expand broadband penetration in Sub-Saharan Africa Abu Dhabi, UAE, 11 September 2023: YahClick, the Data Solutions subsidiary of the UAE...

29/08/2023

Emirati Women a Key Driving Force Behind UAE's Notable Achievements in Satellite Communica...

Yahsat proudly celebrates Emirati Women's Day, recognizing accomplishments o...

11/08/2023

Yahsat Strengthens its Presence in China Amid Growing Demand for its World-class Satellite...

Yahsat's Commercial team is exploring ways to take advantage of growing Chin...

08/08/2023

Yahsat Reports Solid First Half Results for 2023

Normalised EBITDA grew 3% versus prior year to AED 460 million and Normalised Net Income 5% to AED 175 million delivering improved margins Abu Dhabi, United Ar...

13/07/2023

Yahsat Reaffirms Position as UAE's Leading Satellite Tech Provider with Award from the Cou...

Khalid Al Kaf, Yahsat's Chief Operations Officer, accepted the TDRA Partner ...

22/06/2023

Yahsat's Powerful Communications Solution at Centre Stage of Cross-border Rescue of Chines...

Chinese embassy officials commend Yahsat for its support in the rescue of five f...

14/06/2023

Thuraya Welcomes Minister of State His Excellency Ahmed Ali Al Sayegh to its Pavilion at C...

Abu Dhabi, UAE, 14 June 2023: Thuraya Telecommunications Company, the mobility a...

08/06/2023

Yahsat Embarks on an Action-packed Week of Activities in Singapore as It Targets Internati...

Yahsat Asia Week' showcased innovative solutions of its mobility arm, Thuray...

23/05/2023

Thuraya and eSAT Global Announce Satellite IoT Breakthrough with Low-Latency Messaging

Demonstration of low-power IoT messages' transmission over Thuraya's sat...

17/05/2023

Bayanat, Yahsat and ICEYE announce an ambitious program to broaden commercial opportunitie...

New program provides further momentum to UAE space economy sector The program a...

08/05/2023

Yahsat Reports Record First Quarter Revenue in 2023

Net income and EBITDA both grew by 35% and 4% respectively year-on-year Abu Dhabi, United Arab Emirates, 8 May 2023: Al Yah Satellite Communications Company PJ...

18/04/2023

Yahsat Wins MSUA Satellite Mobile Innovation Award for Thuraya's Push-To-Talk Mobility Sol...

Yahsat has been recognized with the prestigious accolade in the highly competiti...

03/04/2023

Yahsat's Mobility Arm Thuraya and Astrocast Strengthen Collaboration through a Strategic I...

Thuraya agrees heads of terms for investment in leading IoT and LEO network oper...

16/03/2023

Yahsat selects Comtech for development of Advanced Location Tracking Solutions as part of ...

Abu Dhabi, UAE March 16, 2023 Al Yah Satellite Communications Company PJSC (...

01/03/2023

Yahsat and Calidus Partner to Equip Aeronautical and Land Defence Systems with Secure Comm...

MoU signed between national leaders at IDEX 2023 to build on Yahsat's system...

28/02/2023

Yahsat Reports Strong Revenue and EBITDA Growth in 2022

Key financial guidance targets met or exceeded Contracted future revenues of AED 7.3 billion [USD 2.0 billion] Equivalent to 4.6 times annual revenue Robust...

23/02/2023

Bayanat and Yahsat sign MOU to develop in-country space program for earth observation capa...

The strategic partnership is aimed at building and operatingstrategic earth obse...

22/02/2023

GAL-AMMROC and Yahsat Partner to Expand Services for Airborne Platforms

Collaboration between two national industry leaders to expand services for UAE and MENA region airborne market creating a one-stop-shop for relevant platform ...

17/02/2023

Yahsat and Cobham SATCOM Complete Critical Design Review for Thuraya's Next Generation Bro...

The successful completion of the Critical Design Review is a key milestone in th...

15/02/2023

Yahsat and MBRSC Partner on Remote Sensing and Earth Observation

Partnership demonstrates collaboration between two leading national champions that will support the national space sector for both government and commercial cus...

11/01/2023

Yahsat Wins Best Marine Satellite Technology Accolade at Middle East Technology Excellence...

The game-changing solution, Thuraya MarineStar, from Yahsat's mobility arm T...

23/12/2022

Yahsat Honours Lives of Fishermen Saved in the Philippines

Yahsat's mobility solution Thuraya XT-LITE was utilized to save the lives of seven fishermen who were stranded in waters between the Philippines and Ind...

08/11/2022

Yahsat Reports Double Digit Revenue and EBITDA Growth for the First Nine Months of 2022

Exceptional third quarter performance Abu Dhabi, United Arab Emirates, 8 Novem...

07/11/2022

Hub71 and Yahsat to Advance Innovative Technologies Supporting Satellite Operations from A...

Partnership to support Abu Dhabi based startups with commercial opportunities to...

11/10/2022

Yahsat Acquires a Minority Stake in eSAT Global

Thuraya, Yahsat's mobility business, signs complementary commercial agreement to develop a Next Generation IoT Platform with eSAT Global Investment in eSAT...

21/09/2022

Yahsat Announces Increased Interim Cash Dividend of AED 196.6 Million (8.06 fils Per Share...

Yahsat is on track to deliver an increased total dividend of at least AED 393.3 ...

01/09/2022

Yahsat Joins UAE Climate-Responsible Companies Pledge

Pledge seeks to increase engagement from the private sector and companies in the pivot towards decarbonization 21 leading companies across the UAE joined the P...

09/08/2022

Yahsat First Half Revenues Up by 8.1% to record levels, with Net Income Increasing by 50.7...

Abu Dhabi, United Arab Emirates, 9 August 2022: Al Yah Satellite Communications ...

01/07/2022

Yahsat Announces Appointment of Sulaiman Al Ali as Chief Commercial Officer of Yahsat to D...

In his new capacity, Sulaiman Al Ali will lead both YahClick, Yahsat's data ...

11/05/2022

Yahsat Reports 1Q22 Revenue Growth of 9.4% and a 26.4% Increase in Profit

1Q22 revenue of AED 362.5 million [USD 98.7 million], up 9.4% year-on-year 1Q22 Adjusted EBITDA of AED 213.4 million [USD 58.1 million], up 6.8% year-on-year ...

29/04/2022

Yahsat Awarded Contracts Totaling AED 28.3 Million in Value to Design and Deliver Advanced...

Yahsat has been appointed to enable UAE Government platforms with a satellite co...

12/04/2022

Yahsat Announces Results of Annual General Meeting and Total Dividend of AED 385.5 million...

All resolutions approved at AGM including amendment to dividend policy allowing ...

08/03/2022

Al Seer Marine and Yahsat Join Forces to Offer Interoperable Next Generation Satellite Co...

MoU signed to collaborate on line-fitting unmanned vessels and pre-qualifying Ya...

07/03/2022

Yahsat and EDGE Join Forces to Equip NIMR Vehicles with Interoperable Satellite Connectivi...

Yahsat and Edge have agreed to line-fit pre-qualified Comms-On-The-Move (COTM) s...

01/03/2022

Yahsat Reports Strong FY2021 Results Supported by Exceptional 4Q21 Performance

FY2021 revenue of AED 1.49 billion [USD 407.6 million], increased year-on-year driven by exceptional 4Q21 performance in which revenues grew 7.9% vs. prior year...

14/02/2022

Yahsat Awarded AED 909.5 Million Managed Services Mandate by the UAE Government

Yahsat will provide managed services for ground satellite communications services and solutions for the next 5 years Agreement represents an important mileston...