stc’s H1 2022 net profit up 2% to SAR 5.872 bln; Q2 at SAR 2.837 bln

stc reported a net profit after Zakat and tax of SAR 5.872 billion in the first six months of 2022, an increase of 2%, compared to SAR 5.773 billion a year earlier. 

The earnings rise was driven by a SAR 2.336 billion jump in revenue, which in turn pushed gross profit and operating profit higher by SAR 1.415 billion and SAR 811 million, respectively.  

On the other hand, the higher profit was offset by an increase in the cost of revenue and operating expenses by SAR 921 million and SAR 604 million, respectively. 

During the six-month period, total other expenses rose by SAR 644 million, mainly due to booking SAR 512 million of impairment in associates and joint ventures.

In Q2 2022, net profit after Zakat and tax inched up 0.6% year-on-year (YoY) to SAR 2.837 billion, from SAR 2.821 billion in the year-earlier period, on a SAR 1.040 billion increase in revenue, despite an increase in the cost of revenue and operating expenses. The telecom operator also reported higher gross and operating profit during the same period. 

On a sequential basis, net profit dropped 6.5% from SAR 3.035 billion in Q1 2022. 

Total shareholders’ equity, excluding minority interest, stood at SAR 71.786 billion by the end of H1 2022, compared to SAR 63.915 billion in a year-earlier period. 

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