Mobile Telecommunications Company Saudi Arabia (7030) Q3 2024 earnings summary

Executive summary

• Achieved 4.5% year-over-year revenue growth to SAR 7.7 billion for the first nine months of 2024.

• Net profit for the nine months was SAR 321.98 million, significantly lower than SAR 1,321.07 million for the same period last year, mainly due to the absence of a one-time tower sale gain.

• Continued expansion in digital services, 5G, fintech, and sustainability initiatives aligned with Saudi Vision 2030.

• The group operates in mobile telecommunications, fintech, and technical drone services in Saudi Arabia, with several subsidiaries.

• Report covers unaudited interim condensed consolidated financials for the three and nine months ended 30 September 2024, prepared in accordance with IAS 34 as endorsed in Saudi Arabia.

Financial highlights

• Q3 2024 revenue reached SAR 2,583 million, up 1% sequentially and 9% year-over-year.

• Gross profit for Q3 2024 was SAR 1,714 million with a gross margin of 66%.

• EBITDA for Q3 2024 stood at SAR 856 million, EBITDA margin at 33%.

• Net profit for Q3 2024 was SAR 150 million, profit margin at 6%.

• Gross profit for the nine months was SAR 4,799.50 million, compared to SAR 4,379.96 million year-over-year.

Outlook and guidance

• Focus on expanding B2B and B2C offerings, digital transformation, and sustainable practices.

• Management expects to meet obligations in the normal course of operations, supported by an unutilized portion of the Syndicated Murabaha Facility amounting to SAR 0.88 billion.

• The group has adequate resources to continue operations for the foreseeable future.

• Strategic partnerships to empower people with disabilities and advance green technology.