Saudi Telecom Company (7010) Q3 2025 earnings summary

Executive summary

• Achieved record revenue of 57.92 bn for the nine months of 2025, up 2.6% year-over-year, marking the highest in company history for this period.

• Net profit reached 11.58 bn for the nine months, up 14.84% year-over-year when excluding non-recurring items.

• Strategic partnerships and investments advanced digital transformation, local content, and infrastructure expansion, including a 37.5 bn commitment by center3 and a 1.2 bn partnership with Red Sea Global.

• Launch of Business-Critical Network and new partnerships in sports, esports, and tourism reinforce leadership in digital transformation.

Financial highlights

• Q3 2025 revenue rose 3.58% year-over-year; gross profit for nine months stable at 27.91 bn.

• Operating profit for Q3 2025 grew 2.69% year-over-year excluding non-recurring items, but nine-month operating profit declined 5.4% to 10.83 bn.

• EBITDA for the nine months increased 5.72% year-over-year excluding non-recurring items.

• Free cash flow increased 12% to 5.22 bn, while net cash from investing activities surged 596% to 8.49 bn.

• Capex for the period was 6.08 bn, with a Capex intensity ratio of 10.49%.

Outlook and guidance

• Committed to a fixed quarterly dividend of 0.55 per share for the next three years, with potential for special dividends.

• Focus remains on digital transformation, infrastructure expansion, maximizing shareholder value, and executing cost efficiency programs for sustainable profitability.

• Ongoing investments in digital infrastructure and AI are expected to reinforce the Kingdom's position as a regional digital hub.