- Profit Increase: Solutions by STC reported a profit of 453 million riyals in the second quarter of 2024.
- Year-Over-Year Growth: This profit marks a 33% increase compared to the same period last year.
- Beating Estimates: The reported profit exceeded analysts’ estimates of 407.7 million riyals.
- Revenue Growth: The company reported revenues of 2.77 billion riyals, reflecting a 2.6% year-over-year growth.
- Slight Miss on Revenue Estimates: Despite the growth, the revenue fell short of the estimated 2.94 billion riyals.
- Operating Profit: Solutions by STC reported an operating profit of 400 million riyals, a 3.4% increase compared to the previous year.
- Analysts’ Estimates on Operating Profit: This operating profit was below the estimated 420 million riyals from two analysts.
- Revenue Boost Sources: The company cites an increase in revenues from IT managed and operational services as a major factor for the profit rise.
- Decline in Other Services: They also mentioned a decrease in core ICT services and digital services revenues.
- Analyst Recommendations: There are 3 buy, 9 hold, and 4 sell recommendations for Solutions by STC.
A look at Arabian Internet & Communica Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 5 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analyzing the Smartkarma Smart Scores for Arabian Internet & Communications indicates a promising long-term outlook for the company. With a strong score in Growth (4) and Resilience (5), the company shows potential for expansion and the ability to withstand market challenges. Additionally, a respectable score in Dividend (3) suggests that shareholders may benefit from consistent dividend payouts. Although Value (2) and Momentum (2) scores are not as high, the overall outlook remains positive for Arabian Internet & Communications.
Arabian Internet and Communications Services Company, known as Solutions by STC, offers a range of IT services including cybersecurity, system integration, managed services, and digital solutions like cloud and IoT. Catering to both public and private sectors in Saudi Arabia, Solutions by STC plays a crucial role in providing essential technology services to businesses in the region.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
