24 Hrs
Source:
الاقتصادية
Zain boosts profits with stable revenues
Saudi Telecom Company (Zain Saudi Arabia) reported stable revenues of approximately 2.65 billion riyals in the second quarter of 2026. Net profit increased by about 61% to reach 204 million riyals, although real growth after excluding non-recurring income is estimated at around 5%. This fundamental improvement did not fully reflect the company's operational performance, as it was driven by an improved sales mix and a decrease in certain expenses, rather than an acceleration in demand. Growth was supported by an increase in 5G subscribers and an improved business segment, which boosted profit margins. However, a decline in device sales raises the possibility that this improvement is temporary, with revenue growth potentially recovering if device availability improves. Meanwhile, operating costs rose due to network expansion. Nonetheless, lower credit losses helped improve profitability. The company continues to rely on cost management and non-recurring gains, making sustainable revenue growth a key factor to watch in the second half of 2026.
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