Al Yah Satellite Communications Company PJSC (Yahsat), the United Arab Emirates' leading provider of satellite solutions, announced its strongest financial performance ever for the full year ended December 31, 2023. The company's revenue climbed 6% year-on-year to a record AED 1.7 billion (USD 457 million), exceeding its previous guidance and surpassing analyst projections. This positive financial picture was reflected across key metrics, including Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) and net income, which grew 3% and 68% respectively, reaching AED 977 million (USD 266 million) and AED 405 million (USD 110 million).
Yahsat's success in 2023 was attributed to consistent growth across all four of its operating segments: Government Services, Broadcast & Media, Mobility Solutions, and Data Solutions. The Data Solutions segment, offering satellite-based broadband data solutions, witnessed a particularly impressive 6% growth in revenue. This robust performance solidified Yahsat's position as a reliable service provider, exceeding client expectations while maintaining the highest standards of operational excellence.
Beyond financial achievements, 2023 marked a significant milestone for Yahsat with the awarding of its largest-ever government contract. This landmark agreement, valued at AED 18.7 billion (USD 5.1 billion), signifies the UAE government's continued trust in Yahsat's expertise and capabilities. The contract encompasses the provision of satellite capacity and managed services, with an upfront payment of AED 3.7 billion (USD 1 billion) further bolstering Yahsat's financial standing.
Furthermore, Yahsat's Board of Directors proposed a strategic merger with Bayanat, a leading geospatial intelligence company. This potential consolidation aims to unlock new growth opportunities and solidify Yahsat's position as a regional leader in the evolving satellite communications and geospatial intelligence landscape.
Looking ahead, Yahsat remains optimistic about its future prospects. The company's strong financial performance, coupled with the significant government contract and proposed merger, positions Yahsat for continued success in the years to come. As the company navigates an increasingly competitive market, it remains committed to delivering innovative solutions and exceeding client expectations while playing a pivotal role in shaping the future of the satellite communications industry.