Page 9 - SAMENA Trends - April 2020

REGIONAL & MEMBERS UPDATES SAMENA TRENDS

MEMBERS NEWS

stc’s Net Income for Q1 of 2020 Increases by
5.93% Compared to the Corresponding Quarter
Last Year

stc announced the company’s preliminary financial results for the number 10 globally (coming from number 105) in the internet speed
period ending at 31 March 2020: in 3 years only. On top of that, stc’s internet speed has increased
• Revenues for the 1st quarter reached SR 13,935m with an 7 times over the past 3 years. stc winning two Speedtest Awards
increase of 4.10% compared to the corresponding quarter last for the fastest mobile network, and best mobile coverage in the
year. kingdom in 2019, shows the company's commitment to provide the
• Gross Profit for the for the 1st quarter reached to SR 8,196m best services to its customers. In addition, stc won the Customer
with an increase of 3.71% compared to the corresponding Experience Management Award for 2020 after competing with the
quarter last year. largest global telecom operators. Part of our journey for digital
• Operating Profit for the 1st quarter reached to SR 3,004m with transformation and enriching customer’s experience, paper
a decrease of (8.27%) compared to the corresponding quarter contracts had been dispensed and 7 million contracts on annual
last year. basis were digitized which in return will contribute to save around
• Earnings before Interest, Taxes, Zakat, Depreciation and 200,000 hours of customers waiting time annually. In addition,
Amortization (EBITDA) for the 1st quarter reached to SR 5,330m stc is expanding in the telecom towers infrastructure by building
with a decrease of (1.04%) compared to the corresponding new towers in the Kingdom while at the same time keeping-up
quarter last year.
• Net Income for the 1st quarter reached to SR 2,913m with an
increase of 5.93% compared to the corresponding quarter last
year.
In accordance with the approved dividend policy for three years
starting from the 4th quarter 2018, which was announced
on 16 December 2018, and has been ratified during the Extra
Ordinary General Assembly Meeting on April 24th 2019, stc will
distribute a total of SR 2,000 million in cash dividend for Q1 2020,
representing SR 1 per share. The eligibility of dividends shall be for
the shareholders at the close of trading on Tuesday 28/04/2020
corresponding to 05/09/1441 H and as per the registered
shareholders in the register of The Securities Depository Center
Company at the end of the 2nd trading day following the
eligibility date. Dividend distribution date will be on 19/05/2020
corresponding to 26/09/1441H. Commenting on these results,
Eng. Nasser bin Sulaiman Al-Nasser, GCEO of Saudi Telecom
Company (stc), indicated that the company, despite the emerging
epidemic conditions of the Corona Virus (COVID-19), was able to
grow its top line by 4.1%. As a result, stc’s business units achieved
distinct growth in revenue during the current quarter compared
to the same quarter of the previous year. Where the increase of
Enterprise Business Unit revenues were supported by innovative
products in the field of Internet of Things, cloud computing and
Cyber security in addition to other telecom products and services.
Further, the Wholesale Business Unit revenue also increased
supported by the growth witnessed in Hubbing services. As
for Consumer Business unit, revenue has increased with the
support of an increase in fiber optic subscribers by 23% and data
revenue by 15.5%. As a testimony of KSA global leading position
in communications infrastructure in general, and in digital
communications in particular, KSA was successfully ranked

9 APRIL 2020