stc's Q1 operating profit hurt by investments to support growth, expansions: CEO

stc Group CEO, Olayan Alwetaid

stc reported lower operating profit in Q1 2023, primarily due to the investments undertaken by the group to support its expansion and growth in various fields announced earlier, Group CEO, Olayan Alwetaid, said in an emailed statement to Argaam.  

The partnerships formed by the group helped bolster Q1 results.

The first-quarter earnings build on the group’s success as a digital transformation enabler in the region, since the launch of its “Dare 2.0” strategy that aims at diversifying investment opportunities in technology and communications, as well as maximize economic impact through expansion and growth.    

The group implemented several initiatives and projects, which have a clear impact on boosting and diversifying revenues in the fields of cloud computing, Internet of Things (IoT) and digital infrastructure, Alwetaid added. 

The group’s ambitious strategy aligns with Vision 2030 that aims to enhance the Kingdom’s position as a digital hub connecting the world. These results will support the group’s results and sustainable growth, the CEO concluded.

stc reported a net profit rise of 2% to SAR 3.10 billion for the first quarter of 2023, compared to SAR 3.03 billion in the year-earlier period, Argaam reported.