Saudi Telecom Co. — Interim / Quarterly Report 2012

Jan 21, 2013

Saudi Telecom Company announces the interim consolidated financial results for the year ending at 31.12.2012 (12 months).Cont. 3

7010 · 21/01/2013 09:17:27 · Announcement #28527 · View on Saudi Exchange

Saudi Telecom Company announces the interim consolidated financial results for the year ending at 31.12.2012 (12 months).Cont. 3

STCs fiber optic customers (homes & Businesses) increased to more than 100,000 connected customers with an increase of more than 1000% compared to Q4 2011 and 48% compared to the immediate previous quarter, following the continued expansion of the "Fiber Optic" network (FTTH) & (FTTX) in Saudi Arabia as we have reached more than 500,000 home pass in December 2012 and to continue with the plan to reach 1.5m by 2014. STCs subscribers are now able to enjoy Internet speeds of up to 200 Mb/sec. The ongoing network expansion has also led to a further increase of 175% in the number of InVISION subscribers (STCs Interactive TV service) compared to Q4 2011 and 32% compared to the immediate previous quarter. Fixed broadband subscriber during this quarter grew 19% compared to Q4 2011. Also, the number of subscribers in bundled services grew by 15% during the quarter, compared to Q4 2011.

Enterprise business unit overall revenues increased by 9% during the quarter compared to same period in 2011, supported by the 28% increase in Business sector postpaid mobile revenues and the increase in Data circuits services by 14% during the quarter compared to same periods in 2011.

With regards to international operations, STC group during 2012 witnessed revenue growth of 40% in the controlled subsidiaries compared to 2011, driven by continued subscriber additions in post-paid, pre-paid and wireless broadband. However, our investments in Aircel, Cell C and Axis, were not performing up to expectations and we intend to employ continued focus to enhance the performance of these companies.

The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.