Saudi Telecom Co sees 9% rise in Q2 net profit

Telco says improved performance due to strong growth both domestically and overseas
Saudi Telecom Co sees 9% rise in Q2 net profit
By Andy Sambidge
Mon 18 Jul 2011 08:49 PM

Saudi Telecom Company said on Monday its net profit for the second quarter of 2011 reached SR2.256bn ($601.6m) compared to SR2.062bn for the corresponding quarter last year.

It said net Q2 net profit was up by nine percent and had increased 43 percent compared to the first quarter of this year.

The telco added that the increase in net income was due to the strong growth within the domestic broadband (fixed and mobile) and content revenues.

In addition, it said that growth in revenues from international operations also contributed to the stronger performance.

Group CEO Saud Al Daweesh said in a statement posted on the Saudi bourse that international operations contributed 34 percent of revenues.

He added that domestically, revenue grew as a result of broadband, data and content services with its fibre optic network covering more than 130,000km.

The number of subscribers of fixed broadband increased by 15 percent in Q2 this year compared to the same period last year, he said.

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