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Mohammed Al Mudarres, CEO, Saudi Industrial Services Co.
The first half of 2022 witnessed several global threats related to supply chains between China and Europe, rising shipping rates, closures in China and shutdown of some plants, which created challenges in the port and logistics sector, Saudi Industrial Services Co.’s (SISCO) CEO Mohammed Al Mudarres said.
The company reported progress and robust growth in profits for Q2 2022 compared to Q1 2022 despite posting lower earnings in H1 2022, he told Argaam.
He expected the firm to achieve better results in H2 2022 on improved performance of the ports, logistics, water and other sectors.
According to the CEO, the acquisitions currently being studied by SISCO are taking time, anticipating the recent acquisitions to reflect on 2023 and 2024 financials.
Al Mudarres pointed out that SISCO is continuing with the proposed strategy in acquisitions and expansion to achieve its strategic objectives for 2025 and 2026.
He indicated that customs duties and inflation in commodity prices were among the reasons that led to certain challenges faced by the import sector.
This is a temporary period, as the market will become accustomed in the coming months and adapt to the current price rates, the CEO concluded, According to the data available on Argaam, Sisco's profits fell to SAR 3.9 million in H1 2022, a 93% decline, compared to SAR 54.7 million during the same period of 2021. Q2 profit stood at SAR 3.1 million.
Despite the decline in profit, the company declared a 4% interim dividend for 2022, as per its dividend policy.
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