stc announced the company’s preliminary financial results for the period ending at 31 December 2020. Revenues for the 4th quarter reached SR 15,213m with an increase of 14.69% compared to the corresponding quarter last year. For the 12 months period of 2020, the revenues reached SR 58,949m, registering an increase of 8.43%.
Gross profit increased 1.54% for the 4th quarter reaching SR 8,489m compared to the corresponding quarter last year. For the 12 months period of 2020, the gross profit reached SR 33,997m with an increase of 4.96%.
Operating profit registered SR 3,290m with an increase of 37.08% compared to the corresponding quarter last year. For the 12 months period of 2020, the operating profit increased 2.69% to reach SR 12,816m.
Earnings before Interest, Taxes, Zakat, Depreciation and Amortization (EBITDA) for the 4th quarter reached to SR 5,716m with an increase of 14.62% compared to the corresponding quarter last year. For the 12 months period of 2020, EBITDA reached SR 22,175m with an increase of 4.28%.
Net Profit registered an increase of 15.60% and reached SR 2,683m compared to the same period last year. For the 12 months period of 2020, the net profit reached SR 11,085m with an increase of 3.94%.
Commenting on these results, Eng. Nasser bin Sulaiman Al-Nasser, stc Group CEO, stated that the company has achieved the highest annual revenue in the past 8 years. This achievement was primarily due to the increased demand for stc's various services & products, and the company’s ability to meet this demand promptly and efficiently, especially during COVID-19 pandemic.
The consumer business unit revenue has grown as a result of 27.5% increase in FTTH and 10.6% increase in broadband subscribers, in addition to a 9.0% increase in data revenue during the current period compared to the previous period (12M). Further, The enterprise business unit revenue has also increased during the 12 months period, by 24.6%, due to the company's ability to provide the necessary support and innovative services to its customers in order to accelerate their digital infrastructure transformation. Despite the challenges faced by the wholesale business unit due to the travel ban and its impact on international roaming revenues, wholesale’s revenue increased during this year as well. Moreover, the revenue generated by stc’s subsidiaries grew by 13.8% during the current year, which contributed positively to achieving these results.