EL7.AI
StocksMedium•28 October 2026•
3 min read

stc Operating Profit Rises 4.1% to SAR 11.282 Billion in 9 Months

Key Facts

1Operating profit rose 4.1% to 11,282 million riyals in 9 months.
2Revenue increased 3.7% to 60,096 million riyals in 9 months.
3Net profit was 10,918 million riyals, up 2.6% after excluding non-recurring items from both periods.
4Subsidiary revenue growth accelerated to 18.5% year on year in the third quarter.
5Total distributions to shareholders reached 8.2 billion riyals in the first nine months.

stc announced preliminary financial results for the period ended September 30, 2026, reporting a 4.1% year-on-year increase in operating profit to 11,282 million riyals in the first nine months. Revenue rose 3.7% to 60,096 million riyals, while gross profit increased 5.2% to 29,362 million riyals. Earnings before interest, taxes, depreciation and amortization reached 19,150 million riyals, up 3.5% from the same period. Net profit was 10,918 million riyals, growing 2.6% after excluding non-recurring items from both the current and comparable periods. The results reflect concurrent growth in revenue and operating profitability, alongside slower net profit growth under the group's adjusted comparison.

The group's chief executive said revenue growth was underpinned by growth in telecommunications business in Saudi Arabia and faster growth at subsidiaries. Subsidiary revenue rose 9.0% in the first nine months, while its growth accelerated to 18.5% year on year in the third quarter. Revenue at the business unit rose 2.0%, while carrier and wholesale unit revenue increased 5.1% during the period. The subsidiary figures highlight an acceleration in the third quarter compared with the growth rate recorded since the start of the year. The chief executive said growth was "driven by growth in telecommunications business in Saudi Arabia and accelerating growth across subsidiaries."

Operating indicators showed an expansion in the customer base in the Saudi market, with mobile subscriptions rising 4.8% year on year to 30.6 million. Fixed-line subscriptions also increased 4.0% to 6.2 million. On infrastructure, the number of homes connected to the fiber network rose 7.0% to 3.95 million. The number of 5G towers increased 31.5% to 12,38K, according to the figure in the published disclosure. These indicators accompanied growth in telecommunications revenue in Saudi Arabia, which the chief executive described as one of the drivers of group revenue growth.

The group announced a distribution of 0.55 riyals per share for the third quarter of 2026. Total distributions to shareholders in the first nine months reached 8.2 billion riyals. The distribution announcement, alongside the financial results for the period ended September 30, gives shareholders figures for both the quarterly distribution and the total announced since the start of the year. stc ended the 2025 financial year with record revenue of 77.8 billion riyals, while net profit rose 12.5% after excluding non-recurring items. Last year's results provide annual context for the group's performance, while the current nine-month figures disclosed on a comparable basis remain the foundation for assessing the period's results.