State generator SEC saw profits jump 37% in 2016 as earnings from tariff hikes outweighed fuel price rises.

Saudi Electricity Company (SEC) increased its net profits by 36.9% to SR2.11bn ($563.5mn) in 2016 from SR 1.54bn ($411.7mn) in 2015. The rally in the company’s finances follows an increase in both the fuels costs that generators including SEC must pay as well as higher tariffs for grid-linked customers.

Announcing its annual results, SEC said the year-on-year rise in net...