stc Group's New Shariah-Compliant Banking Subsidiary, stc Bank, Receives Saudi Central Bank Approval for Soft Launch
Saudi telecom company stc Group has received approval from the Saudi Central Bank for the beta launch of its new Shariah-compliant banking subsidiary, stc Bank.
The full rollout to all customers is expected later this year.
stc Bank will provide Islamic financial solutions with a focus on security and customer protection using advanced fintech.
The company's CEO, Olayan Al-Wetaid, announced this during the Q1 financial results announcement, where he also mentioned a strategic partnership with the Public Investment Fund to strengthen stc Group's position in the telecommunications sector.
In April, the Public Investment Fund (PIF) agreed to buy a 51% stake in Telecommunications Towers Co. (Tawal) for SR21.94 billion ($5.8 billion).
This deal is part of a merger with Golden Lattice Investment Co. to create a new telecommunications infrastructure leader, with stc Group keeping a 43.06% stake.
This move is part of stc's DARE 2.0 strategy, focusing on unconventional growth and digital transformation.
The strategy has already resulted in a 35% increase in voice calls on stc's network during Ramadan, driven by modern digital voice technologies.
stc Group, a telecommunications company, continues to expand its reach through strategic partnerships and agreements.
Notable collaborations were announced at the LEAP 2024 conference with tech giants Huawei, Ericsson, and Samsung to boost innovation and digital transformation.
Additionally, stc Group's subsidiary, Solutions, signed an MoU with the French Devoteam Group to explore global IT investment opportunities.
The financial report for the first quarter of 2024 shows a 7.76% increase in revenues compared to the previous quarter and a 5.07% increase compared to the same quarter in 2023, totaling SR19.1 billion.
Stc Saudi Arabia experienced revenue growth of 1.2% in Q1 2023, fueled by a 6.7% rise in commercial unit revenues and a 5.7% increase in carriers and wholesale unit revenues.
Business unit revenues declined, but revenues from subsidiaries surged by 13%.
Gross profit increased by 5.13% compared to the previous quarter and 1.65% year-over-year, reaching SR9.3 billion.
EBITDA also showed strong growth, rising by 16.3% quarter-over-quarter and 2.07% year-over-year, reaching SR6.4 billion.
The text reports a significant increase in net profit for the quarter.
Compared to the previous quarter, net profit grew by 44.50 percent, and compared to the same quarter the previous year, it increased by 5.69 percent.
The total net profit for the quarter was SR3.2 billion.
stc Bank will provide Islamic financial solutions with a focus on security and customer protection using advanced fintech.
The company's CEO, Olayan Al-Wetaid, announced this during the Q1 financial results announcement, where he also mentioned a strategic partnership with the Public Investment Fund to strengthen stc Group's position in the telecommunications sector.
In April, the Public Investment Fund (PIF) agreed to buy a 51% stake in Telecommunications Towers Co. (Tawal) for SR21.94 billion ($5.8 billion).
This deal is part of a merger with Golden Lattice Investment Co. to create a new telecommunications infrastructure leader, with stc Group keeping a 43.06% stake.
This move is part of stc's DARE 2.0 strategy, focusing on unconventional growth and digital transformation.
The strategy has already resulted in a 35% increase in voice calls on stc's network during Ramadan, driven by modern digital voice technologies.
stc Group, a telecommunications company, continues to expand its reach through strategic partnerships and agreements.
Notable collaborations were announced at the LEAP 2024 conference with tech giants Huawei, Ericsson, and Samsung to boost innovation and digital transformation.
Additionally, stc Group's subsidiary, Solutions, signed an MoU with the French Devoteam Group to explore global IT investment opportunities.
The financial report for the first quarter of 2024 shows a 7.76% increase in revenues compared to the previous quarter and a 5.07% increase compared to the same quarter in 2023, totaling SR19.1 billion.
Stc Saudi Arabia experienced revenue growth of 1.2% in Q1 2023, fueled by a 6.7% rise in commercial unit revenues and a 5.7% increase in carriers and wholesale unit revenues.
Business unit revenues declined, but revenues from subsidiaries surged by 13%.
Gross profit increased by 5.13% compared to the previous quarter and 1.65% year-over-year, reaching SR9.3 billion.
EBITDA also showed strong growth, rising by 16.3% quarter-over-quarter and 2.07% year-over-year, reaching SR6.4 billion.
The text reports a significant increase in net profit for the quarter.
Compared to the previous quarter, net profit grew by 44.50 percent, and compared to the same quarter the previous year, it increased by 5.69 percent.
The total net profit for the quarter was SR3.2 billion.
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