Saudi Telecom Company (STC) achieved a record increase in its profits, as net profit in the fourth quarter of 2024 surged by 491.7% to reach 13.46 billion riyals, compared to 2.27 billion riyals during the same period in 2023.
Throughout the entire year, STC's net profits jumped by 85.7% to 24.69 billion riyals, compared to 13.29 billion riyals in 2023, reflecting the company's strong performance and effective strategies.
Revenue Growth Driven by Operational Expansion STC recorded revenues of 75.89 billion riyals, supported by a 0.9% growth in revenues from STC Saudi Arabia, and a 16.4% increase in revenues from subsidiaries, reinforcing its position as one of the key players in the telecommunications sector.
The company indicated that the revenue increase of 4.116 billion riyals had a positive impact on profits, despite a rise in revenue costs by 1.556 billion riyals. Additionally, the reversal of a withholding tax provision amounting to 1.5 billion riyals enhanced total profit by 2.560 billion riyals.
Furthermore, the exceptional profit increase stemmed from significant gains from the sale of controlling stakes in "Tawal" and "Digital Infrastructure Investments," with STC achieving a net profit from discontinued operations amounting to 13.973 billion riyals, compared to 759 million riyals the previous year.
Strong Performance of STC Shares in the Market In the market context, STC's shares (TADAWUL: 7010) rose by 3.58% to reach 46.30 riyals, amid strong demand from investors, supported by strong financial growth and the company's expansion strategy.
