Performance Report
Performance Highlights of the year 2022
solutions by stc posted a strong performance in 2022; achieving targets for all financial metrics
Revenue
SAR Million
22% YoY
8,805
EBITDA Margin
45bps YoY
15.8%
EBITDA
SAR Million
26% YoY
1,392
Net Profit (NP)
SAR Million
27% YoY
1,054
Gross Profit (GP) Margin
-85bps YoY
22.8%
Net Profit (NP) Margin
41bps YoY
12.0%
CAPEX/Revenue
-63bps YoY
1.52%
Net cash from Operating Activities
SAR Million
53% YoY
2,091
Net Cash Generated
SAR Million
59% YoY
2,548
Return on Capital Employed (ROCE)
-3.42ppts YoY
32%
Return on Average Equity (ROAE)
1.66ppts YoY
41.4%
All figures are before deducting non-disclosure interest.
Financial Highlights
Net profit
SAR 1,054 million
2021: SAR 833 million
Net profit increased by 27% YoY, supported by strong revenue growth and lower sales and distribution expense.
Gross profit
SAR 2,011 million
2021: SAR 1,708 million
Gross profit margin declined 85 bps YoY, as cost of sales increased to support revenue growth. 24% increase in cost of sales attributed primarily to increased direct costs.
EBITDA
SAR 1,392 million
2021: SAR 1,107 million
EBITDA increased by 26% YoY, supported by strong revenue growth and lower S&D expense.
Total assets
SAR 10,282 million
2021: SAR 7,173 million
Company remains asset-light, with CAPEX intensity ratio of 1.5% in 2022. Working capital changes reflect strong revenue growth.
Shareholders’
equity
SAR 2,823 million
2021: SAR 2,271 million
ROAE of 41.4% in 2022, up from 39.7% in 2021. ROCE of 32% in 2022, down from 35.4% in 2021. DPS of SAR 5.00 in 2022, up from SAR 4.00 in 2021, implying a stable 57% payout ratio.
Income statement (5-year summary)
| *2022 (SAR ‘000) | *2021 (SAR ‘000) | 2020 (SAR ‘000) | 2019 (SAR ‘000) | 2018 (SAR ‘000) | |
| Revenue (Net) | 8,805,091 | 7,208,337 | 6,891,419 | 5,257,296 | 4,041,299 |
| Cost of revenue | (6,793,845) | (5,500,370) | (5,469,447) | (4,410,052) | (3,076,252) |
| Gross profit | 2,011,246 | 1,707,967 | 1,421,972 | 847,245 | 965,047 |
| Total operating expenses | (851,015) | (808,863) | (664,965) | (499,216) | (392,723) |
| Operating profit | 1,160,231 | 899,104 | 757,007 | 348,028 | 572,324 |
| Other income (and expenses) | 11,268 | 4,921 | (3,234) | 86,730 | 35,962 |
| Zakat | (117,786) | (71,107) | (51,978) | (40,933) | (51,831) |
| Net profit | **1,053,713 | 832,919 | 701,796 | 393,825 | 556,455 |
| Gross profit margin | 22.8% | 23.7% | 20.6% | 16.1% | 23.9% |
| Net profit margin | 12% | 12% | 10% | 7% | 14% |
* Certain comparative figures have been reclassified to conform with the classification used for the year ended 31 December 2022.
** Net profit before deducting non-controlling interest of SAR 844,104.
