Kuwait Telecommunications Company reports net profit of KD15m in H1 2022

Kuwait Telecommunications Company (stc), has announced its financial and operational performance during the first half of 2022. The financial results for the first half ended June 30 revealed that the telecom company had netted KD 153.8m in revenue, and KD15m in net profit. The company’s customer base touched 2.2 million.

Dr Mahmoud Ahmed Abdulrahman, stc’s chairman, said: “stc’s total assets reached KD424.1m by the end of June , while total shareholders’ equity increased by 7 per cent reaching KD222.3m. Moreover, stc has a strong solvency position among its peers in the Middle East.”

Engineer Maziad Bin Nasser Al Harbi, stc’s CEO stated: “stc generated good financial results driven by the increased demand on the integrated business solutions and the steady demand on the traditional telecommunications services in the Kuwaiti market. stc’s total revenue reached KD153.8m in the first half of 2022 with growth rate of 10.3 per cent compared to KD139.4m in the previous year. stc managed to achieve this growth in revenue with the significant support from the increase in its customer base which has reached 2.2 million customers by the end of June, representing a rise of 13.6 per cent compared to that in June 2021.”

Al Harbi noted: “Accordingly, stc’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) witnessed a growth of 4.5 per cent to reach KD40.2m in the first half of 2022 compared to KD38.5m in the same period of 2021. Whereby, EBITDA margin reached 26.2 per cent during the six months ended in 2022. As a result, the company’s net profit during the six months period ended June 30 reached KD 15m (earnings per share 15 fils).”

He added: “In the first half of 2022, stc has successfully increased its share capital to reach KD99.9m through distributing 100 per cent bonus shares to its shareholders. This decision came from stc’s positive outlook on creating an added value to its shareholders and place their interest on its top priorities. In this regard, stc’s management ensures developing long term financial policy to balance between its operational and financial performance that would positively reflect on its solvency and enhance its market position as a leader in the telecom industry and a pioneer in the digital transformation.”