STC Group Announces A Robust 7.7% Net Profit Increase In H1 2024

stc Group reported its preliminary financial results for the first half of 2024, ending June 30. Revenues increased by 4.79% compared to the same period last year, reaching 38.255 million Saudi Riyals. This growth is due to a 0.6% rise in overall revenues, a 6.0% increase in customer unit revenues, and a 0.2% increase in carrier and wholesale unit revenues.

The company’s subsidiary revenues also saw a significant rise of 13.4%. Total profit for the first six months of 2024 increased by 3.88%, amounting to 18.957 million Saudi Riyals. Earnings before interest, taxes, zakat, depreciation, and amortization (EBITDA) rose by 5.96%, reaching 12.889 million Saudi Riyals.

Net profit for stc Group grew by 7.73%, totalling 6.590 million Saudi Riyals. The company announced a dividend distribution of 0.40 Riyals per share for the second quarter of 2024, adhering to the dividend policy approved by the General Assembly.

Eng. Olayan bin Mohammed Alwetaid, stc Group’s chief executive, praised the group's various sectors and subsidiaries for their efforts in enhancing its market position. He attributed this success to the group's "Dare 2.0" strategy, which led to outstanding financial performance during H1 2024.

Alwetaid highlighted the comprehensive cost efficiency program adopted by stc Group to improve profit margins through operational efficiency and cost control. This program has strengthened the company's financial position and its ability to seize opportunities and invest in digital infrastructure.

He also commended Saudi Arabia's efforts to provide excellent services and facilities for Hajj pilgrims, enhancing their experience significantly.

Support for Vision 2030

stc Group is committed to supporting Vision 2030 objectives, aiming to make Saudi Arabia a global destination for gaming and eSports. To achieve this goal, stc signed a strategic partnership with the Esports World Cup Foundation as an elite and founding partner.

This partnership allows stc to offer high-quality telecommunications and IT services at all event facilities, providing advanced communication technologies to support the tournament.

Partnerships in Strategic Projects

Alwetaid affirmed that stc will continue supporting digitization efforts in various strategic projects aligned with Vision 2030. One such example is their partnership with the Saudi Ports Authority, Saudi Global Ports Company, and Red Sea Gateway Terminal.

This collaboration enables stc to provide digital services and solutions for transportation and port sectors through its Carrier and Wholesale Unit, enhancing performance, improving operations, reducing costs, and increasing worker safety.

The group remains dedicated to leveraging its technological expertise to ensure comfort and safety for Hajj pilgrims by providing standard internet speeds to over 1.8 million users at holy sites and increasing voice call volume by 65% compared to last season.

The increase in net profit solidifies stc's position as the most influential local brand in Saudi Arabia according to the Ipsos global index of 2023.

With inputs from SPA