Saudi stc's Net Income Inches up 1.34% in Q1

Published April 26th, 2021 - 11:00 GMT
Saudi stc's Net Income Inches up 1.34% in Q1
Gross Profit for the 1st quarter reached to SR8,557 million with an increase of 4.40% compared to the corresponding quarter last year. (Shutterstock)
Highlights
Revenues for the 1st quarter reached SR15,695 million with an increase of 12.63% compared to the corresponding quarter last year.

Saudi Arabia’s stc, a leading telecom provider, said that its net Income for the first quarter (Q1) of the year reached to SR2,952 million ($786 million) with an increase of 1.34% compared to the corresponding quarter last year.

Key financial highlights:

• Revenues for the 1st quarter reached SR15,695 million with an increase of 12.63% compared to the corresponding quarter last year.

• Gross Profit for the 1st quarter reached to SR8,557 million with an increase of 4.40% compared to the corresponding quarter last year.

• Operating Profit for the 1st quarter reached to SR3,482 million with an increase of 15.91% compared to the corresponding quarter last year

• Earnings before Interest, Taxes, Zakat, Depreciation and Amortization (EBITDA) for the 1st quarter reached to SR5,841 million with an increase of 9.59% compared to the corresponding quarter last year.

stc will distribute a total of SR2,000 million in cash dividend for Q1 2021, representing SR1 per share, an stc statement said.

Olayan Mohammed Alwetaid, stc Group CEO, stated that the company’s results for this quarter as compared to the comparable quarter last year was distinct. The company was able to grow its top line by 12.6%, supported by the increase witnessed in Consumer Business Unite revenues due to the growth in the Broadband & Fixed Wireless Access subscriber base by 10.1%, FTTH by 26%, working lines by 3.1% and data revenue by 4.5%.

Further, Enterprise Business Unite revenues also grew by 33.4%, as a result of the increased demand for the company's services & products along with its ability to swiftly respond to customers’ request and demand in a competitive manner. As for Wholesale Sector, it managed to increase its revenues by 5.1%. Moreover, the revenues generated by stc’s subsidiaries grew by 23.2%, which contributed positively to the group's overall results.

Alwetaid also pointed out that stc surpassed its counterparts in the region to become the most valuable brand in the telecommunications sector, and the third most valuable brand in all sectors, according to Brand Finance. The company also celebrated being the region’s fastest-growing brand, up an impressive 14% to $9.2 billion and simultaneously jumping 51 positions to 189th, making stc the 2nd fastest-growing brand of the largest 20 global telecommunications companies.

“In addition and as part of our journey for digital transformation, stc has launched the digital operations control center, which is considered the largest integrated operating center in the region with an area of more than 42,000 sq m,” Alwetaid said.

“ The digital operations control center includes a system made out of advanced digital processes in several areas, such as simulation, digital infrastructure management, digital crises management and reinvention within a range of other digital solutions while abiding by high security standards.”


Copyright 2021 Al Hilal Publishing and Marketing Group

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