Mobile Telecommunications Company Saudi Arabia (7030) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached SAR 2.66 billion, reflecting continued growth and digital transformation focus, though slightly down from SAR 2.69 billion in Q1 2025.

• Net profit for Q1 2026 was SAR 201 million, more than doubling year-over-year, up 11% excluding non-recurring items.

• Maintained leadership in 5G and digital services, with strong operational and network achievements.

• The Group expanded its portfolio with new subsidiaries in fintech, logistics, insurance brokerage, and gaming.

• Upgraded to "A" in the CDP global climate action assessment, highlighting sustainability efforts.

Financial highlights

• Q1 2026 revenue was SAR 2.66 billion, up 5% year-over-year, with net profit at SAR 201 million, an 11% increase.

• EBITDA for Q1 2026 stood at SAR 804 million, with a margin of 30%.

• Gross margin improved as cost of revenue dropped to SAR 997 million from SAR 1,105 million year-over-year.

• Free cash flow for Q1 2026 was SAR 462 million.

• Basic and diluted EPS increased to SAR 0.22 from SAR 0.10 year-over-year.

Outlook and guidance

• Focus on scaling digital and fintech services, particularly through Tamam Finance.

• Continued investment in network expansion and digital transformation aligned with Vision 2030.

• Management expects to continue expanding into fintech, logistics, and digital services through its subsidiaries.

• The Group continues to monitor regional geopolitical developments, with no material impact on operations to date.