Solutions Company Achieves Strong Growth in Revenue and Profit for H1 2026, Despite Rising Costs

Telecommunications and information technology companies in Saudi Arabia continued to benefit from the growing demand for digital services. This positive trend was clearly reflected in their financial results for the first half of 2026. In this exciting context, the Arabian Internet and Communications Services Company (Solutions) reported impressive growth in both revenues and net profits, driven by its expanding operations in telecom, IT, and managed services. The company announced its preliminary consolidated financial results for the six months ending June 30, 2026. They achieved growth in revenues and net profits, alongside an increase in earnings before interest, taxes, Zakat, depreciation, and amortization (EBITDA), which really highlights their strong operational performance during this period. Solutions' revenues for the first half of 2026 reached approximately SAR 6.243 billion. This is a great leap compared to SAR 5.725 billion in the same period of 2025, marking a solid 9% growth. The company explained that this growth primarily came from a significant 19.6% increase in revenues from core telecom and IT services. Plus, managed IT and operational services also saw a healthy 3.5% growth compared to the same period last year, all contributing to the overall revenue boost in the first half. Net profit attributable to the company's shareholders climbed to SAR 824 million in the first half of 2026, up from SAR 807 million in the same period last year, an increase of SAR 17 million. That's a nice bump! The company attributed this improvement to a SAR 101.3 million rise in gross profit, which was a direct result of SAR 517.2 million in revenue growth. This happened even though the cost of revenues increased by about SAR 415.9 million. Operating expenses also went up by SAR 12.9 million, mainly due to an SAR 18.4 million increase in general and administrative expenses. On a brighter note, selling and distribution expenses actually decreased by SAR 5.5 million. The company also noted total other expenses of SAR 16 million. This is quite a change compared to the SAR 43 million in gains recorded during the same period last year. This difference is mainly because of some non-recurring fair value gains that were recorded in the previous period, along with a decrease in finance income this time around. Additionally, Zakat and tax expenses increased by SAR 9 million in the first half of the year. Operating profit for the first half of 2026 reached about SAR 905 million, compared to SAR 817 million in the same period of 2025, showing a fantastic 10.8% growth. Gross profit increased to SAR 1.374 billion, up from SAR 1.272 billion in the first half of last year, an 8% growth. This really signals continued strong operational performance, even with some increases in costs and expenses. Solutions announced that its earnings before interest, taxes, Zakat, depreciation, and amortization (EBITDA) hit SAR 1.089 billion in the first half of 2026, compared to SAR 969 million in the same period last year, achieving a solid 12.4% growth. EBITDA for the second quarter also saw a great rise to SAR 597 million, compared to SAR 521 million in the same quarter of 2025, a 14.6% growth! This clearly shows the company's operational performance keeps getting better as the demand for telecom and IT services in the Saudi market continues to grow.