The profits of Saudi Telecom Company (STC) decreased by 4.3% to reach 2.72 billion riyals in the second quarter of 2020, compared to 2.84 billion riyals in the same quarter of the year 2019.

According to Arabia Net, the company will distribute cash dividends to the company's shareholders for the second quarter of 2020, at two billion riyals, in line with the dividend policy for a period Three years, which started from the fourth quarter of 2018.

One share of the dividend will be one riyal, at 10% of the nominal value of the share.

The dividend will be entitled to the shareholders who own the shares at the end of trading on Tuesday 12/12/1441 AH corresponding to 07/20/2020 and registered in the company's shareholders ’register with the Securities Depository Center Company Finance at the end of the second trading day after the due date.

The company stated in a statement that the reason for the decrease in net profit during the second quarter of the year 2020 amounted to 124 million riyals, compared to the same quarter of the previous year mainly to the following:

<- dir = "rtl" style = "text-align: justify;"> - Total profit increased by 1.63% (134 million riyals) due to a rise in total revenue by 9.7% (1,317 million riyals), which was offset by higher revenue costs by 21.9 % (1,183 million riyals).

<- Dir = "rtl" style = "text-align: justify;"> - Operating expenses increased by 11.60% (549 million riyals), due to the increase in general and administrative expenses by 254 million riyals, sales and marketing expenses of 193 million riyals, and consumption and amortization expenses With an amount of 101 million riyals.

The company recorded 5.63 billion riyals in net profit for the first 6 months of the current year, a slight increase of 0.6% over the same period in the previous year.

The company said that the reason for the increase in net profit during the period of 6 months of the year 2020 by 39 million riyals compared to the same period in the previous year is mainly due to the following:

<- dir = "rtl" style = "text-align: justify;"> - Total profit increased by 2.6% (426 million riyals) due to an increase in revenue by 6.9% (1,866 million riyals), which was offset by a higher cost of revenue by 13.2% ( 1,440 million riyals).

<- dir = "rtl" style = "text-align: justify;"> - Operating expenses increased by 11.9% (1,112 million riyals), mainly due to the increase in selling and marketing expenses of 482 million riyals (as a result of the increase in the provision for doubtful debts Collection during the current period), and high general and administrative expenses in ...