Saudi Electricity Company Achieves SAR 11.6 Billion Net Profit Amid Strong Revenue Growth In 2025

Saudi Electricity Company (SEC) reported robust financial results for the third quarter and the first nine months of 2025. The company achieved significant revenue growth, supported by strategic investments that align with Saudi Arabia's energy transition goals. Operating revenues increased by 17.6% to SAR78.3 billion, driven by an expanded regulated asset base and higher generation revenues due to rising demand.

Gross profit for the nine-month period rose by 10.1% to SAR17.7 billion, while operating profit saw a modest increase of 1.4% to SAR16.1 billion. Despite lower other income and increased provisions for electricity consumption receivables, SEC maintained stable financial performance and operational efficiency.

SEC's CEO, Eng. Khalid Al-Ghamdi, highlighted the company's evolving role in Saudi Arabia's sustainable energy future. He stated: "Our financial performance continues to demonstrate high-quality growth across our asset portfolio and operations. This reflects SEC’s evolving role beyond being a power service provider to becoming a key enabler of the Kingdom’s sustainable energy future anchored in innovation and sustainable investment, enhancing national competitiveness and delivering value to our shareholders and our nation."

The company executed record investments of approximately SAR74 billion during the first nine months of 2025, marking the highest in its history. These investments are expected to drive growth in the regulated asset base and business expansion in the coming periods.

By the end of Q3 2025, SEC had connected over 12.3 GW of renewable energy to the grid and commissioned 8 GWh of battery energy storage systems. An additional 14 GWh are under development for completion next year, enhancing grid reliability and renewable integration.

The SEC–EDF Energy Solutions consortium won a significant project with the 600 MW Samtah PV project valued at SAR1.4 billion, marking SEC's first large-scale solar project as part of its efforts toward net-zero emissions by 2050.

Financial Performance Highlights

In Q3 2025 alone, operating revenues reached SAR31 billion, reflecting a 9.6% increase from Q3 2024 figures. However, gross profit decreased to SAR7.5 billion from SAR8.8 billion in Q3 2024, while operating profit fell to SAR7 billion from SAR8.3 billion during the same period last year.

The quarterly net profit was SAR5.3 billion compared to SAR6.9 billion in Q3 2024 due to higher operations, maintenance expenses, depreciation costs from growing assets, and increased financing costs linked to capital expenditure projects.

Infrastructure Expansion

SEC secured over $4 billion in new financing during FII9 with local and international institutions to support future growth initiatives like the Qurayyah CCGT expansion (3,010 MW) in partnership with ACWA Power through non-recourse project financing worth SAR10.8 billion.

The company also signed power purchase agreements (PPAs) worth SAR12.8 billion for Riyadh CCGT plants (PP13 & PP14), totaling 3,356 MW capacity while converting Rabigh-2 plant's fuel source from liquid fuel to natural gas for improved efficiency.

Customer Growth and Network Expansion

Electricity demand rose by 3% reaching 77.1 GW while total consumption increased by 7% amounting up to 275 TWh during this period; additionally adding around183 thousand new customers bringing their total customer base up-to about11 million customers now served nationwide!

The distribution network expanded significantly with a growth rate of around seven percent reaching approximately eight hundred forty thousand circuit kilometers; transmission networks grew five percent reaching one hundred four thousand six hundred circuit kilometers alongside fiber-optic networks expanding nine percent reaching one hundred two thousand seven hundred circuit kilometers respectively!

Service Improvements

The automation rate within distribution substations reached nearly forty percent improving service reliability alongside integrating them into control centers via fiber optics leading towards enhanced customer satisfaction levels now standing at eighty-five percent indicating ongoing improvements made towards better quality engagement services provided overall!

SEC continues advancing strategic plans aimed at enhancing grid reliability expanding operational capacity supporting economic urban growth building more efficient sustainable energy future throughout Kingdom Saudi Arabia!

With inputs from SPA