Company announced Zain Saudi Arabia, in a statement via “Saudi Tadawul” website Today, it announced a decline in net profit by 94.1% to 67 million Saudi riyals for the first quarter of 2024, compared to 1.137 billion riyals in the same period of 2023.
The company attributed the reason for the decline in profits to the company’s completion of the deal to sell the tower infrastructure during the first quarter of 2023 for an amount of 1.144 billion Saudi riyals, which means reclassifying the financial statements for the first quarter of 2023.
As for the comparison with the last quarter of 2023, when Zain Saudi Arabia’s losses amounted to 54 million riyals, Zain Saudi Arabia turned profitable in the first quarter of 2024, due to the growth in operating profits by 251 million Saudi riyals compared to 108 million riyals. Saudi in the fourth quarter of 2023, with an increase of 131.3%, driven by a decrease in credit losses.
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The company stated that some elements of the profit and loss statement were reclassified, as the accounting for the towers deal was reconsidered in the fourth quarter of 2023, due to the main provisions and estimates involved in evaluating the transfer of ownership of the towers deal.
The company’s revenues increased by 4.6% to 2.5 billion riyals in the first quarter of 2024 compared to 2.42 billion riyals in the same period of 2023. This increase is due to the growth in business sector revenues, fifth generation services, and wholesale sales, in addition to the growth in the company’s revenues. “Tamam Finance”.
The total capital investments amounted to 52 million riyals for the first quarter of 2024, in order to continue enhancing customer experience and quality of services.
The revenues of Tamam Company, the financial technology arm of Zain Saudi Arabia, witnessed a growth of 20%, equivalent to 14 million Saudi riyals, during the aforementioned period. Total profits also increased by 68 million Saudi riyals compared to the fourth quarter of 2023.
