stc Group announced its preliminary financial results for the period ending March 31, 2026, showcasing strong performance across various financial indicators. The group recorded a revenue increase of 3.8%, reaching 19,939 million riyals compared to the same quarter of the previous year.
The gross profit also rose during Q1 2026, reaching 9,772 million riyals, achieving a 7.4% increase compared to the same quarter last year. Meanwhile, operating profit saw an increase of 11.0%, reaching 3,978 million riyals.
Event Details
In a related context, earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 7.1%, reaching 6,557 million riyals. The group achieved a net profit of 3,696 million riyals, reflecting a 12.0% increase after excluding non-recurring items. The group decided to distribute dividends of 0.55 riyals per share for Q1 2026, in line with its approved dividend distribution policy.
Eng. Aliyan bin Mohammed Al-Wutayd, CEO of stc Group, commented on these results, noting that the group started the year with operational and financial momentum that reflects its ability to achieve its strategic goals. He emphasized that the growth in revenue and profit demonstrates the strength of the group's business model and its success in balancing investment in growth opportunities with operational efficiency.
Background & Context
stc Group continues to implement its strategy for expanding regional digital infrastructure, having launched the Silklink project in partnership with the Syrian sovereign fund, with an investment of up to 3 billion riyals. This project aims to develop advanced infrastructure connecting Syria regionally and internationally through a fiber optic network extending over 4,500 kilometers, enhancing stc's role in supporting regional digital connectivity.
The group also enhanced its services during the Riyadh Season, successfully providing advanced communication services to millions of visitors, and demonstrated high readiness during Ramadan to serve pilgrims and visitors to the holy mosques. Internet data traffic during Ramadan increased by more than 21% at the Grand Mosque and 40% at the Prophet's Mosque.
Impact & Consequences
The results of stc Group affirm its competitive capability in the market, contributing to the enhancement of the digital economy in the Kingdom. Its expansion strategies in digital infrastructure reflect its ability to meet the growing demand for communication services.
These results are a positive indicator for the group's future, reinforcing its position as a key partner in supporting digital transformation in the Kingdom, aligning with the objectives of Saudi Vision 2030.
Regional Significance
stc Group contributes to enhancing digital connectivity in the region, opening new avenues for growth in the telecommunications and digital services sector. Its investments in digital infrastructure reflect its commitment to supporting local content and developing national capabilities.
In conclusion, the CEO confirmed that the achievements of the group during Q1 2026 reflect its ability to move forward in implementing its strategy and achieving its goals, thereby enhancing its contribution to the national and digital economy.