Saudi Telecom Co. — Interim / Quarterly Report 2011

Apr 19, 2011

Saudi Telecom Company announces the interim consolidated financial results for the first quarter ended March 31, 2011. Continued

7010 · 19/04/2011 19:16:10 · Announcement #21430 · View on Saudi Exchange

Saudi Telecom Company announces the interim consolidated financial results for the first quarter ended March 31, 2011. Continued

The Group CEO, Eng. Saud Al-Daweesh, said, The continuous growth in the group revenue is attributed to both the increase in number of customers and continued subsidiaries and affiliates companies operational growth, as they did continued capturing more market share. Furthermore, the group continued with its plans to expand its existing networks and deploy 3G networks in countries such as Turkey, India, Malaysia and South Africa. All this will enhance the market share in these countries and attract more customers, which will have a significant impact on revenue growth from international operations during the next few years. While the increase in operating income and EBITDA was a result of the growth in broadband revenues and STC group companies commitment to reduce operating expenses & enhancing operation efficiency. Eng. Al-Daweesh also stated that STC locally will continue to offer bundles & integrated solutions for multiple internet users via the broadband network, both fixed and mobile, by various modern technologies (DSL, fiber, 3G and LTE). Saudi Telecom has launch an internet package at 100mb/s for homes which allowed the company previously to launch interactive television package InVision which is experiencing a strong growth, InVision customers have grown 191% during the 1st quarter. With respect to the mobile, the number of STC customers increased by 4% during Q1. This was achieved as a result of efforts to develop excellent customer loyalty programs, Al-Tamayouz, new post-paid packages, smart phones such as the new iPhone 4 with attractive plans and Quick Net packages with speeds up to 42mb/s. Eng. Al-Daweesh also stated, that the company will continue to lead in content services, where STC has become one of the largest operators of content services in the region serving more than 5 million customers in the field of self-service content. During the 1st quarter several content based services and applications were launched. In the business sector, STC launched several advanced services such as Aamal Net, also a new company AWAL was launched to serve the business segment, providing compounds & cities solutions, Business continuity solutions, cloud computing and network solutions design. All these services will contribute to the business sector growth & address their needs and on the other hand enhance STC market share.

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