Atheeb Telecom’s Profits Surge by 358.3% to SAR 194.6 Million for Fiscal Year Ending March 31

Etihad Atheeb Telecommunication Co. (GO) reported a significant increase in net profit for the fiscal year ending March 31, 2024, reaching 194.6 million riyals, up from 42.4 million riyals the previous year, marking a 358.3% rise. This announcement was made following the release of the preliminary financial results for the period ending March 31, 2024.

Operating profit for the year amounted to 199 million riyals, compared to 57.9 million riyals the previous year, showing a growth of 243.7%. Total shareholders’ equity, excluding non-controlling interests, rose to 558.9 million riyals, up from 116 million riyals the previous year, an increase of 381.4%. Earnings per share reached 6.43 riyals, compared to 1.43 riyals last year.

The company achieved record-breaking revenues, surpassing the billion riyals mark to reach 1.016 billion riyals, compared to 630 million riyals the previous year, an increase of 385 million riyals. This growth is mainly attributed to a 234 million riyal increase in B2B sales revenues, a 120 million riyal increase in wholesale sales revenues, and a 32 million riyal increase in retail sales revenues.

The reason behind the increase in net income for the year compared to the comparative year is due to:

– increase in revenue, increase in other income

– decrease in selling and marketing and generating a financial charges income

In spite of the increase in costs of services, general & administrative expenses, and the allowance for impairment in trade receivables.

Certain comparative figures have been reclassified to conform to the presentation in the current year, to enhance the comparability of information and to be more appropriate for users of annual financial statements.

– The Company signed a liabilities settlement agreement with TAWAL company to settle its liabilities and bought back 488 telecom sites, resulting in gain of 34 M SAR.

– The earnings per share for the current year reached SAR 6.43 as compared to SAR 1.43 last year. Last year earnings per share were restated because of the right issue.