Riyadh, Saudi Arabia – Saudi Advanced Industries Co. (SAIC) has reported a 38 percent increase in profits during the first nine months of 2023 to 111.2 million ($29 million).
This figure marks a leap from the SAR 80.4 million recorded in the same period the previous year.
Revenues surged by 36.6 percent, from SAR 91.49 million in 9M 2022 to SAR 124.97 million in 9M 2023.
Gross income showed a similar 36.6 percent increase, climbing from SAR 91.49 million to SAR 124.97 million.
Operating income rose by 41 percent, from SAR 80.91 million to SAR 114.09 million.
Net income soared by 38.3 percent, reaching SAR 111.17 million, up from SAR 80.36 million in 9M 2022.
The company attributed the profit increase to higher profits from the sale of stakes in associated companies and selling financial assets at fair value through profit or loss (FVTPL).
Additionally, unrealized gains from FVTPL financial instruments and increased dividends earned played a significant role in boosting the profits.
However, these gains were partially offset by a lower share of associate companies’ profits, higher financing costs, general and administrative expenses, Zakat charges, and decreased other income.
The third-quarter witnessed a 76 percent increase in net profit, rising to SAR 38.9 million from SAR 22.1 million in Q3 2022.
However, on a sequential basis, the Q3 2023 bottom line did show a 22.4 percent decrease compared to SAR 50.16 million in the previous quarter. This drop was primarily attributed to higher unrealized losses from FVTPL financial assets, lower profit from selling FVTPL financial assets, and reduced dividends earned.