stc Kuwait

أس تي سي الكويت
BBB RatingTechnology & TelecomsPremier Market Telecommunications2025 AssessmentABBB
www.stc.com.kwMSM v2.1· 154 Criteria
BBB
Mnakh Rating
62.1
/ 100
Environmental30%
5.48
55% achievement · 4 subcategories
-2.22 vs 2024
Contributes 16.44 / 30
Social40%
6.88
69% achievement · 5 subcategories
-0.82 vs 2024
Contributes 27.52 / 40
Governance30%
6.05
61% achievement · 5 subcategories
-1.05 vs 2024
Contributes 18.15 / 30
BBB · 62.1
CC
0–29.99
CCC
30–39.99
B
40–49.99
BB
50–59.99
BBB
60–69.99
A
70–79.99
AA
80–89.99
AAA
90–100
Sector Rank
#3 / 3
/ 3 · Technology & Telecoms
Overall Rank
#10
of 46 assessed
Strongest Pillar
S 6.88
Social · 69%
R&C Deduction
0.00
No controversies
Sector Peers — Technology & TelecomsTop 3 of 3
1
Zain Group
85.4
AA
2
Ooredoo Kuwait
74.8
A
3
stc Kuwait
74.7
A
Key Findings

Executive Summary

Kuwait Telecom (stc Kuwait) demonstrates solid, maturing ESG performance anchored by exceptional governance and social fundamentals, supported by multiple third-party certifications (ISO 14001, ISO 45001, ISO 37301, ISO 20400). The company reports all three GHG scopes via the GHG Protocol with meaningful absolute emissions reductions, documented energy-efficiency and circular initiatives, and integrates climate risk into its ERM and business-continuity frameworks — though it lacks formal carbon/energy targets, renewable energy, TCFD scenario analysis, and external ESG assurance. Social performance is strong, led by an ISO 45001-certified zero-harm safety record, comprehensive well-being programs, a broad SDG-linked community portfolio, and a publicly available supplier code with ESG clauses, while gender diversity remains a notable weakness with declining female representation and a 0% female board. Governance is the standout pillar, with a certified compliance program, zero violations, robust ethics and anti-corruption controls with anonymous whistleblowing, and comprehensive GRI+SASB reporting; the chief gaps are low board independence (~22%), no female directors, and an underdeveloped sustainable finance dimension. Overall the company sits firmly in the A range, with the clearest upside in target-setting, board diversity, and external assurance.

Year-over-Year Analysis

vs 2024

Kuwait Telecom's 2025 disclosures reflect a deepening ESG program with notable certification milestones, particularly the achievement of ISO 45001 occupational health and safety certification and continued ISO 37301 compliance certification. Environmental disclosure expanded with the initiation of Scope 3 reporting and demonstrated absolute Scope 1 and 2 emissions reductions, though the absence of formal targets and external assurance tempered environmental scoring relative to the prior year. Social performance held strong on safety, community investment, and training, but gender diversity continued to soften as female workforce numbers declined. Governance remained the company's strongest pillar, supported by zero violations, a comprehensive ethics framework, and robust multi-framework reporting, with persistent gaps in board independence and diversity. The overall trajectory is stable-to-improving in disclosure maturity, with clear opportunities in target-setting and diversity.

Environmental

The Environmental pillar shows expanded disclosure with first-time Scope 3 reporting and strong absolute Scope 1 (-22.92%) and Scope 2 (-18.95%) reductions, but the continued absence of quantified targets, renewable energy, external assurance, and quantified water data (still a baseline year) keeps environmental subcategories in the moderate range.

Social

The Social pillar strengthened notably in safety with the achievement of ISO 45001 certification and a sustained zero-harm record, while community investment and training remained robust; however, gender diversity (S3) softened as female representation declined from 94 to 80 employees with continued 0% female board representation.

Governance

The Governance pillar remained stable and strong, with continued ISO 37301 compliance certification, zero violations, a comprehensive ethics and whistleblowing program, and detailed GRI+SASB reporting; persistent constraints are low board independence (~22%) and the absence of female directors, alongside a limited sustainable finance dimension.

Key Improvements
S2: Achieved ISO 45001:2018 OHS certification with sustained zero-harm record and improved well-being metrics — stc Kuwait obtained ISO 45001 certification in 2025 and reported zero injuries/fatalities/LTIFR plus a 13.0pt year-on-year well-being improvement and declining absenteeism (0.62% in 2025).
E1: Initiated Scope 3 reporting and delivered strong absolute Scope 1 and 2 emissions reductions — Scope 1 fell 22.92% and Scope 2 fell 18.95% YoY through diesel-site reduction (~400 to 275), 105 hybrid power solutions, and electrification, with Scope 3 disclosure begun for selected categories.
G5: Expanded ethics and anti-corruption coverage to 100% training and tracked whistleblowing resolution — The company reported 100% Code of Conduct and anti-corruption training coverage, 100% corruption risk assessment of operations, and full resolution of whistleblowing cases via the anonymous SpeakUp channel.
Key Regressions
S3: Female workforce representation declined for a second consecutive year — Women fell from 94 in 2024 to 80 in 2025 (21.45% of workforce), with only 0.8% female in senior management and a continued 0% female board, and no D&I targets disclosed.
E4: Water performance remains a reporting-boundary gap with no quantified data — Water Usage is still marked N/A in the Boursa Kuwait index with 2025 treated as a preparatory/baseline year, leaving water consumption unmeasured and waste segregation noted as an ongoing challenge.
Outlook

If Kuwait Telecom formalizes quantified carbon/energy targets, advances board independence and female representation, and pursues external ESG assurance, it is well-positioned to move from solid A-range performance toward ESG leadership, building on its strong certification base and zero-violation governance record.

Strengths

ISO 45001-certified occupational health and safety with a complete zero-harm record (zero injuries, fatalities, recordable injuries, LTIFR) and measured well-being improvements (Employee Experience Index 88.8, +13.0pt well-being).
Mature governance and ethics framework: ISO 37301 compliance certification, zero violations/fines/corruption incidents, 100% anti-corruption and Code of Conduct training, and anonymous SpeakUp whistleblowing with 100% case resolution.
Meaningful operational decarbonization with all three GHG scopes disclosed via GHG Protocol and strong absolute reductions (Scope 1 -22.92%, Scope 2 -18.95%), plus comprehensive GRI+SASB sustainability reporting with full content indices.

Areas for Improvement

Set quantified, time-bound carbon and energy reduction targets with a defined baseline year, pursue renewable energy adoption, and obtain external ESG/GHG assurance.
Strengthen board governance by increasing director independence above the 25-33% threshold and introducing female board representation, alongside formal D&I targets to reverse declining female workforce participation.
Advance climate disclosure toward formal TCFD/ISSB alignment with scenario analysis and quantified climate financial impacts, and complete water consumption metrics beyond the 2025 baseline year.
Performance Overview
Subcategory Radar
14subcategories · 0–10
E1E2E3E4S1S2S3S4S5G1G2G3G4G5
20252024
Pillar Contribution
of 62.11 total
62.1
Total
Environmental
16.44 / 30 · 26.5%
Social
27.52 / 40 · 44.3%
Governance
18.15 / 30 · 29.2%
Subcategory Treemap
Size = weight · Color = pillar
E15.8
Carbon Emissions Reduction · W:12
S17
Community Investment & · W:12
S35.5
Diversity, Inclusion & · W:12
E25.5
Energy Efficiency & · W:9
G17
Transparency & ESG · W:9
S29
Workplace Well-being & · W:8
E35.3
Climate Change Adaptation · W:6
G28
Compliance with ESG · W:6
G32.8
Sustainable Finance & · W:6
G44.8
Board Diversity & · W:6
S46.5
Education & Sustainability · W:4
S56.8
Sustainable Supply Chain · W:4
E44.8
Water & Waste · W:3
G58.5
Ethics & Anti-Corruption · W:3
Pillar Details
5.48
out of 10
Achievement55%
Contribution16.44 / 30
Weight30%
Subcategories4
E1
Carbon Emissions Reduction
5.8
-1.7 vs 2024
/10
Weight: 12
58% achievement
E2
Energy Efficiency & Renewable Energy
5.5
-3.0 vs 2024
/10
Weight: 9
55% achievement
E3
Climate Change Adaptation
5.3
-2.7 vs 2024
/10
Weight: 6
53% achievement
E4
Water & Waste Management
4.8
-1.2 vs 2024
/10
Weight: 3
48% achievement
Score Calculation
1
Pillar Scores
E: 5.48
S: 6.88
G: 6.05
Weighted averages (0\u201310)
2
Apply Weights
62.11
(5.48×3)+(6.88×4)+(6.05×3)
E:30% S:40% G:30%
3
R&C Deduction
0.00
No controversies
4
Final Score
62.11
Range: 60–69.99
Rating
BBB
Mnakh Index Rating
ESG Activities
Activity Summary
19 activities in 2026
Environmental
1
Social
15
Governance
3

Recent Activities

View all →
SS4S122 Aug 2026

stcKuwait Concludes Summer Training Program for University Students

stc Kuwait (stcKuwait) concluded a month-long summer training program for university students on 22 August 2026, comprising lectures and workshops in marketing, public relations, corporate communications, content creation and customer experience. Participants worked in teams on an innovation challenge and presented final projects to a judging committee, with the winning team recognised and its concept to be studied for possible implementation. The announcement does not disclose the number of participating students, universities involved, or any partner institutions.

One month Program duration1 Winning student projects recognisedNot disclosed Participant count disclosed
SS1S4E417 Aug 2026

stcKuwait Runs Marine Safety Awareness and Island Clean-Up with Coast Guard

stc Kuwait (stcKuwait) organized a community initiative at Kubbar Island in August 2026 in collaboration with the Kuwait Coast Guard, engaging visitors on maritime safety preparedness and distributing safety bags containing first-aid supplies. Employee volunteers also carried out a clean-up campaign on the island and distributed waste collection bags to visitors to encourage responsible disposal. No beneficiary counts, volunteer numbers or waste volumes were disclosed.

Kuwait Coast Guard
SS4S116 Aug 2026

stcKuwait Sponsors AI Skills Workshop for High School Students with KISR

stc Kuwait (stcKuwait) sponsored an artificial intelligence workshop and design competition for high school students held within the Kuwait Institute for Scientific Research (KISR) Summer Training Program in August 2026. The workshop covered AI fundamentals, prompt writing and practical applications, and was led by AI specialist Husain Alsaffar alongside KISR researchers. stcKuwait also formed a judging committee from its AI and Digital Transformation Department and recognised the top male and female participants at the program's closing ceremony.

KISR Summer Training Program Program hostHigh school students Target groupTop male and female participants awarded Recognition
Kuwait Institute for Scientific Research (KISR)
EE2E15 Aug 2026

stcKuwait Trials Solar-Powered Zero-Diesel and Hybrid Network Sites

stc Kuwait (stcKuwait) announced on 5 August 2026 the launch of two clean energy trials at remote network sites: a Self-Backhaul Rural Base Station System operating entirely on solar panels and battery storage with no diesel generators, and a Solar Hybrid system combining solar, intelligent battery storage and conventional backup. The hybrid trial reduced diesel generator operating time from continuous 24/7 use to under four hours per day, stated as a reduction of more than 83% in fuel consumption and associated emissions per site. The number of sites involved, absolute fuel or emissions savings, and any independent verification were not disclosed.

More than 83% Reduction in diesel fuel consumption per site (hybrid trial)Less than 4 hours per day (from 24/7) Diesel generator operating time after hybrid deployment100% solar, zero diesel, zero direct emissions Solar-only site operation (Self-Backhaul Rural Base Station System)
SS11 Aug 2026

stcKuwait Contributes USD 5 Million to Kuwait Emergency Response Fund

stc Kuwait (stcKuwait) contributed a total of USD 5 million to the Kuwait Emergency Response Fund, managed by the Kuwait Fund for Development under Council of Ministers approval. The contribution combines cash support and in-kind support in the form of AI-enabled internet network infrastructure intended to strengthen national emergency preparedness and response capacity. The Fund, which received the contribution, was launched on 5 July of the same year.

USD 5 million Total contributionCash and in-kind (AI-enabled internet network infrastructure) Contribution form5 July Recipient fund launch date
Kuwait Fund for Development, Kuwait Emergency Response Fund
Methodology: MSM v2.1 · 154 CriteriaAssessment: 2025Weights: E:30% · S:40% · G:30%