Saudi Telecom Company (STC) announced the company’s preliminary financial results for the period ending at 30 September 2019.
Revenue from services for the 3rd quarter reached SR 14,114m with an increase of 5.96% compared to the corresponding quarter last year. For the 9 months period of 2019, the company revenue from services reached SR 41,103m an increase of 6.08%.
Gross profit for the 3rd quarter reached SR 7,921m with an increase of 0.89% compared to the corresponding quarter last year. For the 9 months period of 2019, the gross profit reached SR 24,032m - an increase of 9.47%.
Operating profit registered SR 3,328m with an increase of 2.84% compared to the corresponding quarter last year, and an increase of 14.96% compared to the 9 months period of 2019.
Earnings before Interest, Taxes, Zakat, Depreciation and Amortization (EBITDA) for the 3rd quarter reached SR 5,237m with an increase of 2.13% compared to the corresponding quarter last year, and an increase of 12.68% compared to the 9 months period of 2019.
Q3 net income reached to SR 2,746m with an increase of 3.90% compared to the corresponding quarter last year. For the 9 months period of 2019, the net income reached SR 8,344m; an increase of 8.73%.
Commenting on the results, Eng. Nasser bin Sulaiman Al Nasser, STC group CEO, stated:
“The increase in net profit for the 9 months period of this year compared to the corresponding period last year by 8.73%, and the increase in net profits for the third quarter compared to the same quarter the last year by 3.90%, indicate the company’s constant strong performance supported by an increase in revenue from consumer and wholesale business unites as well as STC’s subsidiaries.”
Eng. Al Nasser added, “The company today is playing a key role in enabling digital transformation, which is one of the main objectives of the Saudi Vision 2030. Not to mention, we have spared no efforts in investing and supporting innovative solutions as we have worked on developing digital payments, big data, use of cloud computing, cybersecurity, IoT and artificial intelligence to remain among the best telecommunication and information technology companies in the world.”
In recognition of the company's leadership in providing digital solutions, STC recently received a certificate as one of the world's leading cloud computing services provider that was awarded by VMware, the global leader in cloud software and services, thus becoming the first internationally certified Saudi provider of cloud services. In addition, STC Solutions (STC’s subsidiary) achieved the first position in providing IT services in the Kingdom for the 4th consecutive year with a market share of 16.8% in 2018 according to IDC report, a leading marketing research company. Moreover, STC has been recognized as a 2019 Best Practices Award winner in the Business Intelligence, Visual Analytics, and Data Discovery category by TDWI, the premier source for in-depth education and research data. On top of that, STC joined the Social International Value Organization as the first telecommunication company in the Middle East to obtain membership in this global organization, which measures and analyzes social value in order to enhance and exchange the best practices in corporate social responsibility.
Continuing to the company's achievements in serving the Hajj pilgrims, STC network achieved a record numbers during the Hajj season of 1440 AH due to the efforts of the government’s various sectors and STC preparation and expansion of its 5G network in 196 locations for the first time in the holy places. In addition, the 4G network has been expanded by an additional 50% over last year. Those expansions proved their effectiveness at peak hours with a growth of traffic volume reached up to 137% compared to last year. Lastly, the 4G traffic volume (VoLTE) has grown at peak hours to more than 366% over last year.