In its financial reports for 2022, Zain KSA reported a 15% increase in revenue from SAR 7.9 billion in 2021 to SAR 9.1 billion for the entire year. The company reported a net profit of SAR 550 million, a staggering 157% increase over 2021, making it their greatest profit to date. The company also disclosed the Board of Directors' recommendation to pay shareholders of Zain KSA cash dividends in 2022 at a rate of 5% of nominal share value.
HH Prince Naif bin Sultan bin Mohammad Bin Saud Al Kabeer, Chairman of the Board of Zain KSA, commented on these results by saying: "The 2022 financial results represent the significant shift in Zain KSA's financial and operational performance as well as the growth it has attained. The outcomes also support the company's aim of improving the user experience, increasing investment in emerging technologies, and investing in adjacent markets while continuing to strengthen governance to ensure sustainable development and profitability.
According to HH Prince Naif, "Zain KSA was able to achieve these results thanks to the tremendous potential of Saudi Arabia's burgeoning economy, astute national leadership, and Saudi Vision 2030, which laid out the framework for achieving integrated digital transformation and transitioning into a smart, knowledge-based economy, empowering society, and improving quality of life by utilizing the limitless potential of technology. Due to our focus on innovation, development, and wise investments, we have succeeded as a leading Saudi company in establishing ourselves as a partner of choice for cutting-edge telecommunications and digital services, as well as in assisting our ambitious country.
The Board of Directors has proposed awarding dividends to shareholders after the company generated its biggest revenue and profit in company history, he continued. This accomplishment was made possible by the work of the entire Zain KSA family, including all employees and the executive management, who were able to increase shareholder investments and produce value for all of our customers, thereby boosting and maintaining the company's profitability and growth.
Sultan bin Abdulaziz Al-Deghaither, CEO of Zain KSA, said: "In 2022, we were successful in reaching the objectives of our commitment to our strategy, which we launched five years ago. As a result, 2022 will see significant change on both the operational and financial levels. In addition to improving the capabilities of the Kingdom's telecommunications and digital services sectors, we concentrated on delivering the best user experiences. Over the past year, Zain KSA has accomplished a number of key milestones that have greatly aided in the achievement of these encouraging outcomes. The first of these is the significant growth of the 5G user base, especially in the business sector, thanks to cutting-edge technologies and programs in the areas of artificial intelligence, virtual and augmented reality, the Internet of Things, cloud computing, and other areas. With Zain Cloud, which received the highest cloud computing rating from the Communications, Space, and Technology Commission and is now the Kingdom's chosen cloud services partner, we built the first 5G stand-alone network and expanded our portfolio of cloud services and products. Through Yaqoot and its integrated digital bundles, we have also improved the experiences of our users. According to Brand Finance, Zain KSA's brand value climbed to more than SAR 3 billion, placing the company among the top 14 brands in the Kingdom.
"Parallelly, we continued to strengthen our presence in neighboring markets," he continued. We made investments in digital entertainment through PLAYHERA MENA after finding success in the fintech industry with Tamam Financing. In order to better serve the markets in the region, we expanded the GeForce NOW cloud gaming platform. In order to meet the need for the most dependable high-speed connectivity, we also improved our cross-border services capabilities by tying the Middle East and Africa together with the J2M undersea cable system (from Jeddah, Saudi Arabia, to Marseille, France).
Al-Deghaither made the following statement in response to questions about the company's sustainability initiatives: "At Zain KSA, we reaffirmed our commitment to the principles of sustainability through our approach that uses technology to promote sustainable development. In compliance with the Saudi Green Initiative and the pertinent UN SDGs, we implemented a number of projects to mitigate climate change. In order to deliver the largest possible value for society, we also kept promoting inclusion across Zain KSA while emphasizing equality, equity, and workplace diversity.
At the ceremony announcing the first batch of projects, which was held under the patronage and in the presence of His Royal Highness Prince Mohammad bin Salman bin Abdulaziz, Crown Prince, and Prime Minister, Zain KSA was remarkably one of the major national companies joining the Private Sector Partnership Program, "Shareek". Additionally, in the first quarter of 2023, Zain KSA announced that a deal worth more than SAR 3 billion had been reached to sell and lease back its passive tower infrastructure to the Golden Lattice Investment Company, which is owned by the Public Investment Fund, His Royal Highness Prince Saud bin Fahd bin Abdulaziz, and Sultan Holding.
