Saudi Telecom profits increases by 7.6% in 2022, to 12.1 SAR billion

STCs fourth-quarter profits increased from SAR 2.6 billion in the fourth quarter of 2021 by 5.5% to SAR 2.8 billion in 2022.

The value of operating profits during the past year amounted to  SAR 15 billion, compared to SAR 13.1 billion in 2021.

STC statement

STC said that the increase in net profit during 2022 amounted to SAR 860 million compared to the previous year.

This increase is mainly due to reasons including the increase in revenues by SAR 4.424 million.

The reverse of a provision for a prospective liability of  SAR 1.079 million.

it had a positive impact on the cost of revenues by SAR 824 million.

The increase in operating expenses by SAR 1.639 million, was mainly due to the increase in general and administrative expenses.

Selling and marketing expenses increased by SAR 524 million, and depreciation and amortization expenses increased by SAR 277 million.

Total other expenses increased by SAR 1.126 million.

This is due to an impairment in value against the investment in Binaryang GSM Holding Group.

There was an increase as a result of a decrease in fair value after re-evaluation of the investment.

That was due to the fall in market conditions and the trading share price of one of its key assets in the Malaysian market.

Financing costs increased by SAR 78 million, which was offset by an increase in financing revenues by SAR 225 million, and the cost of the early retirement program increased by SAR 52 million.

With regard to zakat and income tax, it increased by SAR 43 million.