Saudi Telecom Company (STC) has reported an 11.4% rise in net profit for the first quarter of this year to SAR3.02 billion (USD805 million). Operating income was up 16% year-on-year at SAR3.39 billion. Saudi Arabia’s dominant telco has attributed the increases to improved revenues and strong customer take-up in the mobile and broadband sectors.
Meanwhile, STC’s sole competitor in the Saudi cellular market has also posted first-quarter financial growth. Etihad Etisalat, which trades as Mobily, said revenues for the three months to the end of March rose 23% to SAR2.31 billion, while net profits were up 30% at SAR86.9 million. The Kingdom is set to get its third national mobile operator later this year with the launch of Saudi Zain, which is backed by Kuwait’s Zain Group.