1. Profitability, cash flow and capital expenditure guidance reiterated

Abu Dhabi, United Arab Emirates: 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 three months ended 31 March 2024.

Revenue grew 1% for the period versus the prior year to a record AED 371 million [USD 101 million]. EBITDA grew 58% to AED 352 million [USD 96 million] and net income almost doubled to AED 194 million [USD 53 million]. On a normalised basis, adjusting for material, one-off items to allow like-for-like comparison, EBITDA grew 7% to reach AED 247 million [USD 67 million] and net income fell 8% to AED 99 million [USD 27 million], reflecting the introduction of UAE corporate tax this year.

Underpinning this strong performance was revenue growth across two segments. 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 by revenue, providing complete value-added satellite communications solutions primarily to the UAE Government and related entities, reported impressive revenue growth of 19% as well as higher margins, building on a strong prior year performance. The Mobility Solutions segment, which provides mobile satellite services using L-band spectrum, recorded lower revenues, mainly on fewer equipment sales. Data Solutions, the smallest segment, offering satellite-based broadband data solutions, saw revenues fall on lower subscriber numbers.

Highlights for the period include:

  • Revenue of AED 371 million [USD 101 million], up 1% year-on-year with growth across the Infrastructure and Managed Solutions segments.
  • Normalised EBITDA of AED 247 million [USD 67 million], up 7% year-on-year, with a double-digit reduction in the normalised cost base resulting in an expanded margin of 67% (prior year 63%).
  • Normalised Net Income (profit) of AED 99 million [USD 27 million], down 8% versus the prior year period, due to the introduction of UAE corporate tax (9% rate); margins remained strong at 27% (prior year 29%).
  • Contracted future revenue of AED 24.7 billion [USD 6.7 billion], equivalent to approximately 15 times last-twelve-month revenue and only 1% lower versus year end 2023.
  • Strong cash generation with Discretionary Free Cash Flow (“DFCF”) of AED 252 million [USD 69 million], more than double the prior year figure driven by improved collection of receivables.
  • Historically strong balance sheet with an improved cash position of AED 2.3 billion [USD 615 million], negative Net Debt of AED 596 million [USD 162 million], AED 3.7 billion [USD 1 billion] expected in new advance payments, access to a USD 300 million undrawn bridge facility and long-term visibility of future cash flows up to 2043. The Group continues to be well positioned to fund growth capital expenditures, opportunistic acquisitions and dividends.
  • Guidance for EBITDA, cash flow and CapEx is reiterated but has been revised lower for full year revenues. Following an anomaly experienced on the Thuraya 3 satellite in April 2024, as recently disclosed, revenue guidance has now been revised down to AED 1.5-1.6 billion [USD 415-435 million] from AED 1.6-1.7 billion [USD 440-460 million].

Ali Al Hashemi, Group Chief Executive Officer of Yahsat, commented: “Yahsat has achieved another set of strong quarterly results, demonstrating further progress in growing our core business of serving the UAE Government’s requirements for satcom solutions.

“We also continue to progress toward finalising the full contract for the new US$5.1 billion Capacity and Managed Services Mandate with the UAE Government and the related procurement contract with the satellite manufacturer for two new satellites, Al Yah 4 and Al Yah 5. Further, we are working on completing the procurement of Thuraya 4, to be launched into space in the second half of this year, which will renew and continue Thuraya’s success story for many more years to come.

“Lastly, following the recent shareholder approval of the merger with Bayanat, we are now working toward completing the merger in the second half of the year and finalising plans for the successful integration of the two companies. This merger will usher in an exciting new chapter, positioning Space42 as an AI-powered space technology champion in the MENA region with global reach. For the first time in our industry, we will combine advanced satcom solutions and geospatial analytics, operating communication and Earth Observation satellites across multiple orbits.”

The full set of quarterly financial disclosures, including a more detailed Management Discussion & Analysis report that clearly defines capitalised terms used in this press release, can be found within the Investor Relations section on Yahsat’s website.


Normalised EBITDA is EBITDA (earnings before interest, taxes, depreciation and amortisation) adjusted for material, one-off items recorded during the current and comparative periods that would otherwise distort the underlying, like-for-like performance of the business. Q1 2024 Normalised EBTIDA of AED 247 million [USD 67 million] reflects an adjustment for one-off advisory costs related to the proposed merger between Yahsat and Bayanat (AED 5 million [USD 1 million]) and other income related to liquidated damages in relation to the T4 procurement contract (AED 110 million [USD 30 million]). Q1 2023 Normalised EBITDA of AED 231 million [USD 63 million] reflects an adjustment for one-off restructuring costs (AED 8 million [USD 2 million]).

Similarly, Q1 2024 Normalised Net Income of AED 99 million [USD 27 million] reflects the adjustments made above to derive Normalised EBITDA as well as the tax impact of these adjustments (AED 10 million [USD 3 million]) following the introduction of UAE corporate tax this year. There were no further adjustments for Q1 2023 Normalised Net Income of AED 108 million [USD 29 million].


For investor enquiries, please contact: ir@yahsat.ae
For media enquiries, please contact: corporatecomms@yahsat.ae and yahsat@hkstrategies.com   

About Yahsat

Al Yah Satellite Communications Company PJSC (Yahsat) is a public company listed on the Abu Dhabi Securities Exchange (ADX) and a subsidiary of Mubadala Investment Company PJSC, offering multi-mission satellite solutions in more than 150 countries across Europe, the Middle East, Africa, South America, Asia and Australasia.

Yahsat’s fleet of 5 satellites reaches more than 80% of the world’s population, enabling critical communications including broadband, broadcasting, backhauling and mobility solutions. Based out of Abu Dhabi in the UAE, Yahsat provides C, Ku, Ka and L-band satellite communications solutions for land, maritime and aero platforms to consumers, governments and enterprises. Its businesses consist of Yahsat Government Solutions, Thuraya, YahClick (powered by Hughes) and YahLink. Yahsat also participates in Hughes do Brasil, an equity partnership with Hughes, and Yahlive, an equity partnership with SES. In 2020, Yahsat commenced construction of Thuraya 4, the next generation telecommunications system for Thuraya, which is due to enter service in 2025. In 2023, Yahsat placed an order for two new software-defined telecommunication satellites, Al Yah 4 and Al Yah 5, which are expected to be launched in 2027 and 2028, respectively.

For more information, visit: www.yahsat.com; follow us on X (formerly Twitter): @YahsatOfficial


On 18 December 2023, the Board of Directors of each of Bayanat AI PLC (Bayanat) and Yahsat recommended a merger of the two entities to their shareholders. On 25 April 2024, shareholders of Bayanat and Yahsat approved the merger of the two entities. The merger aims to create an AI-powered space technology champion in the MENA region with global reach. Bayanat and Yahsat will continue to operate independently until regulatory approval is received and the merger is effective, which is expected to take place in the second half of 2024. Visit the merger microsite for more information: www.asharedambition.com

Legal Notice and Cautionary statement regarding forward-looking information

This announcement includes forward-looking statements, which are based on current expectations and projections about future events. These statements may include, without limitation, words such as "expect", "will", "looking ahead" and any other words and terms of similar meaning. These forward-looking statements are subject to risks, uncertainties and assumptions about the Company and its subsidiaries and its investments, and speak only as at the date of this announcement. Forward-looking statements are based on assumptions of future events and information currently available to the Company which may not prove to be accurate and the Company does not accept any responsibility for the accuracy or fairness thereof and expressly disclaims any obligation to update any such forward looking statement. No representation or warranty is made that any forward-looking statement will come to pass. You are therefore cautioned not to place any undue reliance on forward-looking statements. For further information regarding forward-looking statements, and the factors that may cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements please refer to our Annual Report for 2023, which is available on our website at https://www.yahsat.com/en/investor-relations/annual-report

The amount and payment of dividends by the Group is subject to consideration by the Board of Directors of the cash management requirements of the Group for operating expenses, interest expense, and anticipated capital expenditures, and market conditions, the then current operating environment in its markets, and the Board of Directors’ outlook for the business of the Company. In addition, any level or payment of dividends will depend on, among other things, future profits and the business plan of the Company, as determined at the discretion of the Board of Directors.

Neither this announcement nor anything contained herein constitutes a financial promotion, or an invitation or inducement to acquire or sell securities in any jurisdiction.