STC hit by exchange rates in first quarter

21 Apr 2009

Saudi Telecom Company (STC) has posted a 17.9% drop in net profit in the first quarter of 2009, largely due to fluctuations in foreign currency. A spokesperson for STC stated, ‘The decrease in the first quarter net profit is due to currency differentials on the company’s investments abroad … The impact of the fluctuation in the exchange of currencies is estimated at SAR686 million.’ Net profit totalled SAR2.49 billion (USD665 million) at the end of 31 March 2009, compared to SAR3.03 billion in the first quarter of 2008. First quarter operating revenues rose to SAR12.14 billion, a 27% increase on 2008 figures, EBITDA increased to SAR5.61 billion and operating profit grew to SAR3.84 billion in the three months ended 31 March 2009.

Saudi Arabia, Saudi Telecom Company (stc)