stc Group achieved its highest-ever revenues for the 9 months period reaching SAR 54.61 billion with an increase of 9.10%, and it distributes SAR 0.40 per share dividends for the 3rd quarter of 2023.
Riyadh, Kingdom of Saudi Arabia, 30 Oct 2023- stc today announced the company’s preliminary financial results for the period ending at 30 September 2023:
- Revenues for the 9 months period of 2023 reached SAR 54,612m with an increase of 9.10% as compared to the comparable period last year.
- Gross Profit for the 9 months period of 2023 reached SAR 28,875m with an increase of 1.80% as compared to the comparable period last year.
- Earnings before Interest, Taxes, Zakat, Depreciation and Amortization (EBITDA) for the 9 months period of 2023 reached SAR 19,116m with a decrease of (2.35%) as compared to the comparable period last year.
- Net Profit for the 9 months period of 2023 reached SAR 11,021m with an increase of 17.08% as compared to the comparable period last year.
In accordance with the dividends distribution policy for three years period starting from the 4th quarter of 2021, which was ratified during the Ordinary General Assembly Meeting on 30-11-2021. In addition to the amendment on the dividends distribution policy, which was ratified by the Extraordinary General Assembly Meeting on 30-08-2022, by distributing an amount of SAR 0.40 per share per quarter, stc will distribute a total of SAR 1,993.80 million in cash dividends to the shareholders for the 3rd quarter of 2023, representing SAR 0.40 per share as the total number of Treasury shares related to the Employees Stock Incentives Plan stood at 15,493,743 shares at the end of the third quarter 2023 and those shares are not entitled for any dividends distribution. The eligibility of dividends shall be for the shareholders at the close of trading on Sunday 05-11-2023 and as per the registered shareholders in stc’s shareholders registry in the Depository Center at the end of the 2rd trading day following the eligibility date. Dividend distribution date will be on Thursday 23-11-2023.
Commenting on these results, Eng. Olayan Alwetaid, stc Group CEO, indicated that the group’s results and performance for the three-month and nine-month periods were excellent and in line with our expectations, which were achieved as a result of the group’s commitment to its “Dare 2.0” strategy and its operational and financial plans. The group CEO added that during the third quarter of this year, stc group acquired a 9.9% stake in Telefonica Group for SAR 8.5 billion. Telefonica is one of the largest telecommunications companies in the world with presence in major markets like Spain, Germany, Britain, and Brazil. This investment aims at strengthening the cooperation between the two companies to benefit from all available opportunities in the future. This investment also aligns with the group’s ambitious expansion and sustainable growth strategy, which has resulted in numerous investments in ICT sector whether locally or internationally. The most recent was the acquisition deal of the group’s subsidiary “Tawal” of United Group’s towers in Bulgaria, Croatia, and Slovenia, which recently announced the acquisition completion and the official start of its operations.
In continuation of the group’s support for digital transformation, “iot Squared”, a subsidiary of stc Group, has signed a binding agreement to acquire “Machinestalk” company, which is one of the largest Saudi companies specialized in the field of the Internet of Things. This acquisition is an extension of the group’s pioneering role in adopting advanced digital technologies and leading the digital transformation in the region, which contributes to keeping pace with the growing demand for Internet of Things technologies and expanding the delivery of comprehensive services and products in this promising market.
In pursuit of achieving the group’s vision to lead the digital field in the Kingdom, the group’s subsidiary, “sirar by stc” was ranked first place in the Middle East and North Africa, and the eleventh place globally among the top 250 providers of cybersecurity services in the “MSSP Alert” list. The ranking was based on an extensive research conducted by the “CyberRisk Alliance. Since its establishment in early 2021, sirar by stc has worked to solidify its position through many partnerships that exceed 100 partners from various sectors. This recognition comes as a testimony to the company’s performance in achieving growth and as an acknowledgment of its commitment to providing cybersecurity services that align with the highest global standards.
Furthermore, stc group signed a memorandum of understanding (MoU) and agreement with Roshn group, the leading real estate developer and one of the major projects of the Public Investment Fund. The MoU agreement included the deployment of 5G network towers, smart homes and cities solutions, as well as the applications of Big Data and Internet of Things (IoT) technologies to enhance communication efficiency and improve the quality of life of residents and visitors of Roshn’s communities. The partnership agreement between stc and Roshn comes as a result of the Group’s strategy to build digitally enabled capabilities within new regions and projects in the Kingdom by equipping a modern digital infrastructure and providing the latest digital solutions and innovative services that enrich the lives of society. The smart city technologies and applications will be reflected in Roshn’s projects, which will enhance the quality of life in line with the goals of vision 2030 aimed at building a digital society, a prosperous digital economy, and a better future for the Kingdom.
In conclusion, stc group aims towards continuous development, success, and leading the digital and communications field by entering into local, regional and global investments, partnerships and agreements in the communications and information technology sectors in line with the pillars of its “DARE 2.0” strategy. stc’s strategy will support achieving the goals of Saudi Vision 2030 and play a deeper role in the digital transformation, not only in the Kingdom of Saudi Arabia, but also going further to make an impact in the Middle East and the world.
