stc Reports Strong Q1 2025 Results, Net Profit Jumps 11.05%

stc announced the company’s preliminary financial results for the period ending at 31 March 2025:

• Revenues for 1st quarter reached SAR 19,210m with an increase of 1.60% as compared to the comparable quarter last year.
• Gross Profit for 1st quarter reached SAR 9,098m with an increase of 5.01% as compared to the comparable quarter last year.
• Operating Profit for 1st quarter reached SAR 3,584m with an increase of 2.02% as compared to the comparable quarter last year.
• Earnings before Interest, Taxes, Zakat, Depreciation and Amortization (EBITDA) for the 1st quarter reached SAR 6,120m with an increase of 5.25% as compared to the comparable quarter last year.
• Net Profit for 1st quarter reached SAR 3,649m with an increase of 11.05% as compared to the comparable quarter last year.
• stc distributes SAR 0.55 per share for the 1st quarter of 2025, in accordance with the dividends distribution policy approved by General Assembly.

Commenting on the results, Eng. Olayan Alwetaid, CEO of stc Group, highlighted that the Group, through its ambitious strategy and forward-looking vision, delivered an excellent performance during the first quarter of 2025, achieving a revenue growth of 1.60%, an increase in gross profit of 5.01%, and an impressive rise in net profit of 11.05% compared to the same quarter last year. The GCEO affirmed that the Group’s achievements were the result of its unwavering commitment to innovation, operational efficiency, and sustainable growth, as well as its relentless pursuit of creating added value for shareholders, customers, and the digital economy as a whole.

The GCEO further added that, early in 2025, stc Group achieved several strategic milestones that further solidified its position in the telecommunications and information technology sector. Among these achievements was a new global milestone, as the Group successfully localized the software for eSIM technology in collaboration with Thales, making stc the first telecom operator in the world to obtain SAS-UP license certification from the GSMA. The GCEO emphasized that this accomplishment complements stc’s ongoing efforts to support local content in the ICT sector through business localization and the transfer of manufacturing and technical expertise to the Kingdom.

In continuation of the Group’s efforts to enhancing the digital communication infrastructure in the region, stc signed a strategic agreement with Ooredoo to establish an international ground fiber network corridor between Saudi Arabia and Oman. This strategic partnership aims to enhance the digital communication infrastructure in the region through the project, which starts with the Saudi-Oman corridor. The project will also create an integrated ground fiber network with two backup routes, connecting submarine cable landing stations on the Red Sea in Saudi Arabia to their counterparts on the Arabian Sea in Oman, passing through dedicated data centers in both countries. This agreement reaffirms the Group’s commitment to delivering advanced communication solutions, enhancing intercontinental connectivity, and driving digital transformation to support the region’s economic growth.

Moreover, stc Group strengthened its position in cloud computing and artificial intelligence by signing an agreement with Amazon Web Services (AWS). This partnership significantly boosts the Group’s ability to deliver advanced technological solutions tailored to the diverse needs of various sectors, while reaffirming its commitment to driving the shift toward an integrated digital economy and leading the future of smart technology in the Kingdom and beyond. Furthermore, as part of its commitment to providing the highest quality of digital services, stc Group enhanced its telecommunications network in the Two Holy Mosques during the holy month of Ramadan by strengthening its infrastructure to meet the growing demand for services during peak times. This upgrade resulted in a 120% increase in connection speed, enabling the Group to ensure an exceptional communication experience for visitors to the holy sites during the peak visitor periods.

Finally, stc Group will continue its pioneering journey, enabling digital transformation and driving national economic growth through strategic initiatives that empower various sectors, further strengthening its position locally and globally as a key partner in building a sustainable digital future that aligns with the Kingdom’s aspirations and its vision towards a diversified economy based on innovation and technology.