Monday 24 June 2024

Bayanat posts solid Q1 growth; revenue surges 12pc

ABU DHABI, May 15, 2024

Bayanat, an Abu Dhabi-listed public company and leading provider of AI-powered geospatial solutions, has reported a 12% jump year-over year (YoY) in its revenue for the first quarter which soared to AED113 million ($31 million), while its net profit registered a 9% growth.  

Announcing its financial results for the three-month period ended March 31, 2024, Bayanat said its revenue increased primarily due to the expansion of its market presence and its strong product range and service offerings. 
The company remains focused on deploying world-class AI solutions and enhanced geospatial services for its clients, it stated.
Gross Profit reached AED32 million in Q1, representing a gross margin of 28%. Profits were largely driven by Bayanat’s continued focus on key segments, namely its Smart Operations Solutions (SOPS), Smart Mobility Solutions (SMOS), and Smart Geospatial Solutions (SGS). 
Aimed at delivering unique use cases, the HAPS technology by Mira Aerospace, a joint venture between Bayanat and UAVOS, and the company’s AI- and geospatial solutions were another major driver of this quarter’s results. 
Ebitda reached AED8 million, representing a 7% margin. Bayanat deployed significant efforts in R&D and talent acquisition. 
These strategic initiatives, while having a short-term negative impact on the EBITDA, will contribute to expanding the company’s product portfolio and future revenue growth, which aligns with its IPO strategy.
Net Profit after tax reached AED10 million, representing a net margin of 9%. Besides its ebitda performance, the company has continued to receive significant financial income from investing its excess cash into responsibly managed financial instruments. 
The Abu Dhabi group said during the period it had made significant strides toward its strategic goals, highlighted by the establishment of expansive agreements and partnerships. 
Notably, the company signed several deals at DRIFTx, an international summit dedicated to the future of smart and autonomous mobility. At the event, Bayanat showcased its latest technological advancements across the firm’s SMOS segment, reaffirming its dedication to innovation and leadership within the mobility space. 
Additionally, Bayanat continued its support and operations for the Abu Dhabi Smart Mobility project further, which underscored its commitment to advancing smart infrastructure solutions.
In the first quarter also, Bayanat bolstered its R&D efforts to optimize and broaden its product offering, one of which is the company’s AI-enabled disaster management platform, AID. 
The platform has proven vital during heavy rainstorms in the UAE by providing valuable data and analytics to the relevant authorities. The platform was developed to leverage space data and AI technologies to address global climate and environmental challenges.
An additional key highlight of the quarter was the strategic AED5.5 billion ($1.5 billion) investment by Microsoft in G42, the pioneering Abu Dhabi-based AI technology holding company and Bayanat’s majority shareholder. 
This investment significantly bolsters Bayanat’s position, granting it direct access to Microsoft’s advanced AI services, and putting it at the forefront of the geospatial intelligence sector with next-generation AI solutions that continue to redefine industry standards for innovation and operational efficiency.
Hasan Al Hosani, Managing Director of Bayanat, said: "Our ability to not only sustain but significantly build upon last year’s exceptional financial milestone—surpassing AED1 billion in revenues for the first time in our history - is a clear indication of our team’s strength and our forward-thinking strategic vision."
"The significant growth in our revenue highlights our solid market positioning. Importantly, we have continued to achieve robust profitability while strategically amplifying our investments in R&D. This focus is pivotal as it enhances our product offerings and operational excellence, fully aligning with our steadfast commitments to innovation and the investor community," he added.-TradeArabia News Service


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