Overview of Financial Performance

The Saudi Electricity Company (SEC), which is 75% owned by the Public Investment Fund, recently announced an impressive 18% year-on-year increase in net profit, reaching $1.84 billion (Dh6.7 billion). This growth reflects SEC's success in expanding its revenue base and optimizing its service offerings.

Revenue Growth and Key Drivers

Revenue for SEC surged by 18%, reaching $7.5 billion (Dh27 billion) compared to $6.3 billion (Dh23 billion) in the previous year. This increase is largely attributed to higher revenues from electricity production, as reported by Arabian Gulf Business Insight.

Expansion of Customer Base and New Revenue Streams

SEC's financial growth is further supported by its expanding customer base and new revenue channels from development projects, which include the construction of substations and transmission lines to better serve customers across the Kingdom.

Performance for the Nine-Month Period

For the nine-month period, SEC reported a 17% year-on-year increase in net profit, totaling $3.2 billion (Dh11.7 billion), alongside a revenue growth of 17%, reaching $17.7 billion (Dh65 billion).

Capital Expenditure Projections

Looking ahead, SEC has projected capital expenditures of $9.3 billion (Dh34 billion) to $10.6 billion (Dh38.9 billion) for 2024, aimed at enhancing infrastructure and supporting future growth.

Market Share and Customer Reach

As of Q2 2024, Saudi Electricity holds a substantial 66% market share in the Kingdom, serving a total of 11.2 million customers.

International Credit Facility

In August, SEC secured a $4 billion (Dh14.6 billion) revolving international credit facility to support its general corporate funding needs, underscoring its financial stability and growth potential.