Beyon announces Q1 2025 financial results

01/05/2025 09:33 AST

Beyon announced its financial results for the first quarter of 2025.

Beyon reported net profit attributable to equity holders of BHD 18.1M (US$ 48.0M) for Q1 2025, a 4% decrease from BHD 18.8M (US$ 49.9M) reported for the corresponding quarter of 2024. The YoY decline in net profit attributable to equity holders is mainly due to additional taxes from the application of Domestic Minimum Top-Taxes ("DMTT"), effective 1 January 2025, and acquisition charges associated with the acquisitions completed in 2024. Earnings per share (EPS) are 10.9 fils for the first quarter of 2025, compared to 11.4 fils in Q1 2024.

Total comprehensive income attributable to equity holders in Q1 2025 was reported at BHD 11.8M (US$ 31.3M), a 70% decrease from BHD39.7M (US$ 105.3M) in the first quarter of 2024, mainly due to investment fair value changes.

Operating profit in Q1 2025 of BHD26.0M (US$ 69.0M) is 4% lower than BHD 27.0M (US$ 71.6M) reported in Q1 2024. EBITDA stands at BHD 45.4M (US$ 120.4M) in Q1 2025 compared to BHD 44.1M (US$ 117.0M) in Q1 2024, an increase of 3%. The company maintained a healthy EBITDA margin of 39% in Q1 2025.

Revenues for the first quarter of 2025 increased by 6% to BHD 117.6M (US$ 311.9M) compared to BHD 110.5M (US$ 293.1M) in Q1 2024, mainly due to increases in digital, wholesale, mobile and fixed broadband services.

Beyon's balance sheet remains strong with total equity attributable to equity holders of the company of BHD 540.9M (US$ 1,434.7M) as of 31 March 2025, 4% lower than BHD 564.2M (US$ 1,496.6M) reported as of 31 December 2024. Total assets of BHD 1,255.4M (US$ 3,330.0M) as of 31 March 2025 are in line with total assets of BHD 1,256.0M (US$ 3,331.6M) as of 31 December 2024. Net assets as of 31 March 2025 which stand at BHD 595.0M (US$ 1,578.2M) are 4% lower than BHD 621.8M (US$ 1,649.3M) reported as of 31 December 2024. The Company reported cash and bank balances of BHD 138.4M (US$ 367.1M) as of 31 March 2025.

Beyon Chairman Shaikh Abdulla bin Khalifa Al Khalifa announced the financial results for the first quarter of 2025 following a meeting of the Board of Directors on Wednesday 30th April, at Beyon's Campus, Hamala, Kingdom of Bahrain.

"The first quarter of 2025 was marked by continued top-line growth and momentum across Beyon's digital companies as well as our telecom and connectivity businesses. The performance reflected strong performance in digital services, wholesale, mobile, and fixed broadband. We also recorded a 3% increase in EBITDA and sustained a robust EBITDA margin, demonstrating our operational efficiency and disciplined cost management. With a solid business strategy for the year and promising growth opportunities, we look forward to continuous achievements and success across Beyon's companies."

"Due to the impact posed by non-operational factors such as the implementation of Domestic Minimum Top-Taxes (DMTT) and acquisition-related charges following our 2024 expansion strategy, net profit saw a minor year-on-year decline. Both of these were anticipated external factors, and Beyon continues to be well-positioned to capture emerging opportunities built on its operational strengths."

Shaikh Abdulla further noted, "This quarter sees us maintaining a healthy financial position, a strong balance sheet, and a clear strategic direction. Beyon continues to invest in innovation, infrastructure, and international expansion to deliver long-term growth and sustainable returns for our shareholders."

From his end, Beyon CEO Andrew Kvaalseth said, "The results of the first quarter of 2025 reflect the solid fundamentals of our business and the ongoing execution of our growth strategy. Across our businesses our focus continues to be on delivering innovative solutions and expanding our footprint. On the connectivity front, Batelco deployed the Kingdom's first private 5G network for industrial use, a transformative move for Bahrain's manufacturing sector, and also saw a brand uplift alongside the announcement of "One Plan" a first of its kind product plan designed to integrate customers' mobile and home connectivity needs all in one single plan."

"Within our digital companies, Beyon Connect's contribution to eKey 2.0 continues to gain traction across banking, finance, insurance and telecommunications sectors in alignment with our commitment to digital transformation. Beyon Cyber was recognized with three major accolades at the 2025 Cyber Security Excellence Awards, marking their rapid growth, regional market penetration, and innovative in-house developments. Beyon Solutions signed a strategic agreement to deliver cloud services with Oracle Cloud Infrastructure (OCI) Dedicated Region, supported by its comprehensive suite of managed services to support businesses and government entities in the Kingdom of Bahrain."

"Looking ahead, we remain confident in our trajectory for 2025. With a strong foundation and forward-looking strategy, Beyon is strategically positioned to capitalise on emerging opportunities and continue delivering value for all stakeholders."

BNA