stc Group announced the company’s preliminary financial results for the period ending March 31, 2025. Revenues for the first quarter reached SAR19,210 million ($5.12 billion), reflecting a growth of 1.60 percent compared to the same quarter last year. Gross Profit for the first quarter amounted to SAR9,098 million ($2.42 billion), marking a rise of 5.01 percent from the previous year. Operating Profit reached SAR3,584 million, showing an increase of 2.02 percent. Earnings before Interest, Taxes, Zakat, Depreciation, and Amortization (EBITDA) for the first quarter reached SAR6,120 million, up by 5.25 percent year-on-year. Additionally, Net Profit for the quarter stood at SAR3,649 million ($973 million), which represents a growth of 11.05 percent compared to the same quarter last year. stc distributes SAR0.55 per share for the first quarter of 2025, in line with the dividends distribution policy approved by the General Assembly.
Focus on operational efficiency
Commenting on the results, Eng. Olayan Alwetaid, CEO of stc Group, emphasized that the Group, through its ambitious strategy and forward-looking vision, delivered an excellent performance during the first quarter of 2025. He highlighted a revenue growth of 1.60 percent, an increase in gross profit of 5.01 percent, and a remarkable rise in net profit of 11.05 percent compared to the same quarter last year. The GCEO affirmed that these achievements stem from the Group’s unwavering commitment to innovation, operational efficiency, and sustainable growth, along with its relentless pursuit of creating added value for shareholders, customers, and the digital economy as a whole.
Strategic milestones in telecommunications
The GCEO further noted that early in 2025, stc Group reached several strategic milestones that solidified its position in the telecommunications and information technology sector. Among these accomplishments was a groundbreaking achievement, as the Group successfully localized software for eSIM technology in collaboration with Thales. This made stc the first telecom operator globally to obtain SAS-UP license certification from the GSMA. The GCEO emphasized that this milestone 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.
Enhancing regional digital communication
Continuing its commitment to enhance 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 partnership aims to improve the region’s digital communication infrastructure, starting with the Saudi-Oman corridor. The project will 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 dedication to delivering advanced communication solutions, enhancing intercontinental connectivity, and driving digital transformation to support regional economic growth.
Strengthening cloud computing and AI initiatives
Moreover, stc Group reinforced its position in cloud computing and artificial intelligence by signing an agreement with Amazon Web Services (AWS). This partnership significantly enhances the Group’s ability to deliver advanced technological solutions tailored to the diverse needs of various sectors, reaffirming its commitment to driving the shift toward an integrated digital economy and leading the future of smart technology in the Kingdom and beyond. Additionally, as part of its commitment to providing the highest quality digital services, stc Group upgraded its telecommunications network in the Two Holy Mosques during the holy month of Ramadan. This enhancement was aimed at meeting the growing demand for services during peak times, resulting in a 120 percent increase in connection speed and ensuring an exceptional communication experience for visitors to the holy sites.
Commitment to national economic growth
stc Group will continue its pioneering journey, enabling digital transformation and driving national economic growth through strategic initiatives that empower various sectors. This will further strengthen its position both locally and globally as a key partner in building a sustainable digital future, aligning with the Kingdom’s aspirations and its vision toward a diversified economy based on innovation and technology.
