Riyadh – Mubasher: Mobile Telecommunication Company Saudi Arabia (Zain KSA) achieved a net profit amounting to SAR 201 million during the first quarter (Q1) of 2026.
The net income during the January-March 2026 period reflected an annual leap of 116.12% from SAR 93 million in Q1-25, according to the income statements.
Zain KSA attributed the profit growth by SAR 108 million year-on-year (YoY) in Q1-26 to improved gross profit margin, noting that “despite lower revenue, gross profit increased by SAR 74 million as the cost of revenue decreased by 9.8% or SAR 108 million as a result of lower device cost and revenue mix improvement.”
Another factor was the one-off income, as the company recognized SAR 98 million earnings from Universal Service Fund during Q1-26. In addition, finance costs decreased by SAR 26.30 million (15%) due to the optimization of the company’s debt profile and the repayment of certain facilities.
Zain KSA generated revenue worth SAR 2.65 billion in Q1-26, which signaled a decline of 1.26% from SAR 2.69 billion in Q1-25.
The earnings per share (EPS) rose to SAR 0.22 in Q1-26 when compared with SAR 0.10 in Q1-25.
On a quarterly basis, the net profit in January-March 2026 marked a decrease of 12.98% from SAR 231 million in October-December 2025.
Moreover, the Q1-26 revenue was 8.03% lower than SAR 2.88 billion in Q4-25, reflecting a plunge of SAR 232 million on a quarterly basis that was mainly due to seasonality and related sales.
In 2025, Zain KSA recorded net profits of SAR 604 million, while its revenue reached SAR 10.98 billion.
