Telecom Egypt Reports EGP 24.4 Billion Net Profit in First Nine Months of 2026, Up 44%

Thursday 12 November 2026 08:30

Telecom Egypt reported strong financial and operational results for the first nine months of 2026, with consolidated revenue rising 19% year on year to EGP 93.6 billion and net profit after tax increasing 44% to EGP 24.4 billion.

The results reflect the company’s strategic direction, adopted at the end of 2025, which focuses on maximizing returns from existing operations while developing new sources of growth, despite ongoing local and global economic pressures and regional challenges.

Revenue Growth Driven by Data and International Calls

Revenue growth was mainly supported by a 30% increase in data services revenue and a 25% rise in incoming international voice revenue compared with the same period last year.

The expansion in data revenue was driven by continued customer growth, increased fiber-optic connections, improved customer experience, and the positive impact of pricing adjustments approved by the National Telecommunications Regulatory Authority (NTRA) earlier this year.

Incoming international voice revenue also benefited from a 16% increase in international call traffic, alongside rising demand for voice services and foreign exchange gains.

The company continued to expand its customer base, with fixed internet subscribers increasing by 8%, fixed voice subscribers by 6%, and mobile subscribers by 3% year on year.

Net Profit Rises 44% to EGP 24.4 Billion

Telecom Egypt’s stronger revenues translated into improved profitability. Earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 24% to EGP 43.1 billion, while the EBITDA margin improved to 46%, compared with 44% in the corresponding period of 2025.

Net profit after tax rose 44% to EGP 24.4 billion, with a net profit margin of 26%, up from 22% a year earlier.

Free cash flow reached EGP 28 billion, equivalent to 65% of EBITDA.

Lower Leverage and Continued Infrastructure Investment

The company strengthened its financial position and capital management efficiency, reducing its net debt-to-EBITDA ratio to 0.8x from 1.5x in the same period last year.

Capital expenditure on assets in service amounted to EGP 8.6 billion, representing 9% of total revenue, while cash capital expenditure reached EGP 26.3 billion, equivalent to 28% of revenue.

Stronger Position in International Indices

Telecom Egypt was upgraded within the FTSE Russell Emerging Markets indices from the Small Cap to the Mid Cap category. The company also received international awards recognizing its network performance in internet speed and telecommunications service quality.

Through its domestic infrastructure, submarine cable network, and landing stations, Telecom Egypt continues to strengthen its role as Egypt’s “network of networks” and support the country’s position as a regional hub for international connectivity.

Diversifying Revenue and Creating Shareholder Value

The company is continuing to diversify its revenue streams by investing in fiber-optic networks, data centers, and international capacity, while improving service speed and reliability for customers.

Its priorities include disciplined investment, more efficient capital allocation, and directing resources toward higher-profit activities to balance expansion with stronger profitability, improved cash flows, and long-term shareholder value.

Tamer El Mahdy: Our Goal Is to Build a More Diversified and Resilient Business

Tamer El Mahdy, Managing Director and CEO of Telecom Egypt, said the results demonstrate that the company is on the right track in implementing its strategy and five-year plan.

He stressed that the company’s ambition goes beyond delivering strong results in a single reporting period, focusing instead on building a business with a more diversified portfolio, advanced technology, greater operational efficiency, and stronger financial resilience.

El Mahdy added that Telecom Egypt benefits from a distinctive combination of assets, including extensive domestic infrastructure, international connectivity through a large submarine cable network, Egypt’s strategic geographic location, and a diverse customer base. He said the company’s responsibility is to turn these advantages into sustainable value for shareholders.