E7 Group Reports 42% Increase In Q1 2024 Net Profit Before Tax

E7 Group PJSC, listed on the Abu Dhabi Securities Exchange (ADX), has announced its financial results for the first quarter ending 31st March 2024, alongside a refreshed growth strategy. The Group reported a net profit before tax of AED29.2 million, marking a 42% increase year-on-year.

Revenue for the period remained stable at AED126.0 million, while EBITDA rose to AED18.9 million. The Group anticipates further improvement in EBITDA throughout the year, driven by phased delivery plans, particularly within the commercial printing segment.

The net profit margin improved to 23%, up from 16% in Q1 2023. Operational net profit saw a 29% increase, reaching AED26.6 million, with a 21% operational net profit margin.

Ahmed Al Shamsi, Chairman of E7 Group, commented, "E7 Group experienced another strong trading period in the first quarter, enabled by continued economic growth across the UAE and increased demand for our expanding suite of products. Importantly, we continue to see interest in our UAE-made products from international customers, which is a testament to E7's reputation of successful delivery for customers in the UAE and abroad."

Growth Strategy

Al Shamsi highlighted that the new growth strategy aims for sustainable profit growth, focusing on security solutions and sustainable packaging. The strategy also emphasises superior customer service to drive customer satisfaction.

CEO's Insights

Ali Saif Ali Abdulla Alnuaimi, Chief Executive Officer of E7 Group, stated, "During the quarter we secured several key long-term target contracts in our security solutions, sustainable packaging and commercial printing segments, while also delivering improved operational efficiencies across the Group. We continue to explore opportunities for organic and inorganic expansion in areas that will complement our existing product mix and broaden our offer for current and prospective customers."

Future Outlook

The Group remains optimistic about its future performance, with expectations of improved EBITDA due to strategic delivery plans. The focus on security solutions and sustainable packaging is anticipated to drive long-term growth and customer satisfaction.

With inputs from WAM