Saudi Telecom Company (stc) announces its interim condensed consolidated financial results for the period ending on 30-9-2025 (Nine Months)
| Element List | Current Quarter | Similar quarter for previous year | %Change | Previous Quarter | % Change |
|---|---|---|---|---|---|
| Sales/Revenue | 19,264 | 18,598 | 3.581 | 19,451 | -0.961 |
| Gross Profit (Loss) | 9,251 | 10,402 | -11.065 | 9,560 | -3.232 |
| Operational Profit (Loss) | 3,627 | 4,410 | -17.755 | 3,624 | 0.082 |
| Net profit (Loss) | 4,107 | 4,643 | -11.544 | 3,823 | 7.428 |
| Total Comprehensive Income | 3,942 | 4,837 | -18.503 | 4,346 | -9.295 |
| All figures are in (Millions) Saudi Arabia, Riyals | |||||
| Element List | Current Period | Similar period for previous year | %Change |
|---|---|---|---|
| Sales/Revenue | 57,924 | 56,465 | 2.583 |
| Gross Profit (Loss) | 27,908 | 27,903 | 0.017 |
| Operational Profit (Loss) | 10,834 | 11,456 | -5.429 |
| Net profit (Loss) | 11,579 | 11,233 | 3.08 |
| Total Comprehensive Income | 12,659 | 11,277 | 12.255 |
| Total Shareholders Equity (after Deducting Minority Equity) | 83,948 | 79,283 | 5.883 |
| Profit (Loss) per Share | 2.32 | 2.25 | |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| Element List | Amount | Percentage of the capital (%) | |
|---|---|---|---|
| Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value | - | - | |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| Element List | Explanation |
|---|---|
| The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the same quarter of the last year is | stc achieved revenues of SAR 19,264m in the 3rd quarter which was mainly attributed to the increase in commercial unit revenues by 3.1%, business unit revenues by 5.3%, carriers and wholesale unit revenues by 17.5%. |
| The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is | stc reported a net profit of SAR 4,107m in the 3rd quarter as compared to SAR 4,643m, (net profit growth reached 19.2% when excluding the non-recurring items in the current and the comparable quarter last year), which was mainly attributed to the following:
- The gross profit reached SAR 9,251m as compared to SAR 10,402m (gross profit growth was 3.9% when excluding the non-recurring items, as the withholding tax provision of SAR 1,500m was reversed in the cost of revenues in the comparable quarter last year).
- The operating profit reached SAR 3,627m as compared to SAR 4,410m (the growth in operating profit was 2.7%, when excluding the non-recurring items).
- The booking of net profit from discontinued operations amounting to SAR 385m in the comparable quarter last year as compared to nil during the current quarter.
- The booking of total other income amounting to SAR 404m, as compared to SAR 94m, mainly due to the increase in net other gains by SAR 431m, mainly due to gains amounting to SAR 474m from the revaluation of STV LP fund units.
- The booking of a positive zakat and income tax amounting to SAR 157m, mainly due to the reversal of zakat provision related to previous years which are no longer required, as compared to zakat and income tax expense amounting to SAR (177m). |
| The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the previous one is | stc achieved revenues of SAR 19,264m in the 3rd quarter which was mainly attributed to the increase in commercial unit revenues by 1.2%, business unit revenues by 6.9%, carriers and wholesale unit revenues by 4.2%, on the other side, device sales revenue declined as a result of sales seasonality. |
| The reason of the increase (decrease) in the net profit (loss) during the current quarter compared to the previous one is | stc reported a net profit of SAR 4,107m in the 3rd quarter as compared to SAR 3,823m, (net profit growth reached 9.8% when excluding the non-recurring items in the current and previous quarters), which was mainly attributed to the following:
- The gross profit reached SAR 9,251m, as compared to SAR 9,560m.
- The operating profit reached SAR 3,627m as compared to SAR 3,624m, due to the decrease in operating expenses by SAR 312m, as a result of the decrease in selling and marketing expenses by SAR 242m, and general and administration expenses by SAR 107m, despite the increase in depreciation and amortization expenses by SAR 38m.
- The booking of a positive zakat and income tax amounting to SAR 157m, as compared to a positive impact of SAR 216m, mainly due to the reversal of zakat provision during the second and third quarters related to previous years which are no longer required. |
| The reason of the increase (decrease) in the sales/ revenues during the current period compared to the same period of the last year is | stc achieved revenues of SAR 57,924m during the 9 months period which was mainly attributed to the increase in commercial unit revenues by 2.9%, business unit revenues by 3.6%, carriers and wholesale unit revenues by 2.3%. |
| The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is | stc reported a net profit of SAR 11,579m during the 9 months period as compared to SAR 11,233m, (net profit growth reached 14.8% when excluding the non-recurring items in the current and the comparable period last year), which was mainly attributed to the following:
- The gross profit reached SAR 27,908m as compared to SAR 27,903m, (gross profit growth was 5.7% when excluding the non-recurring items, as the withholding tax provision of SAR 1,500m was reversed in the cost of revenues in the comparable period last year).
- The operating profit registered SAR 10,834m as compared to SAR 11,456m, (the growth in operating profit was 2.4%, when excluding the non-recurring items).
- The booking of total other income (expenses) amounting to SAR 292m as compared to SAR (140m), mainly due to the increase in net other gains by SAR 314m, as a result of the booking of gains amounting to SAR 600m from the revaluation of STV LP fund units, despite the booking of non-recurring loss of SAR (219m) as a result of the change in the financial instruments following the increase of stc’s ownership in Telefonica from 4.97% to 9.97% during the current period.
- The booking of a positive zakat and income tax amounting to SAR 683m, mainly due to the reversal of zakat provision related to previous years which are no longer required, as compared to zakat and income tax expense amounting to SAR (684m).
- The booking of net profit from discontinued operations amounting to SAR 799m in the comparable period last year, as compared to nil during the current period. |
| Statement of the type of external auditor's report | Unmodified conclusion |
| Comment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion) | The external auditor’s report included a comment mentioned in the Other Matter paragraph, as follows:
The consolidated financial statements for the year ended 31 December 2024 and the interim condensed consolidated financial information for the nine -month period ended 30 September 2024 were audited and reviewed respectively by another auditor who expressed an unmodified opinion on those statements and an unmodified conclusion on that information on 6 Ramadan 1446H (corresponding to 6 March 2025) and 9 Jumada Al-Ula 1446H (corresponding to 11 November 2024) respectively. |
| Reclassification of Comparison Items | Certain comparative figures have been reclassified to conform with the classification used for the period ended 30 September 2025. |
| Additional Information | Earnings before interest, taxes, zakat, depreciation and amortization (EBITDA) stands at SAR 18,497m as compared to SAR 18,375m, (the growth in EBITDA was 5.7% when excluding the non-recurring items).
The total number of Treasury shares related to the Employees Stock Incentives Plan stood at 10,206 shares (in thousand) at the end of Q3 2025, and those shares are not entitled for any dividends distribution. As a result, basic earnings per share (EPS) was calculated based on the weighted average number of ordinary shares in a total of 4,988,381 shares (in thousand) for the 3rd quarter of 2025.
For more information, please refer to the investor relations press release attached to the announcement.
We would like to draw the attention of our esteemed investors that they can access information on stc’s stock performance, dividend distributions, stc’s results and financial statements, and many more features through (stc Investor Relations application). |
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