Tamkeen profit rises 40% to SAR 68.8M in 9M 2024; Q3 at SAR 29.5M

Tamkeen Human Resources Co. reported SAR 68.8 million in net profit for 9M 2024, a rise of 40% from SAR 49.3 million in the prior-year period.

The rise in profit was attributed to the increase in the company’s consolidated revenues by SAR 146.0 million, up 40% year-on-year (YoY).

This increase was buoyed by the corporate services segment’s revenue growth of SAR 160 million, an 83% increase YoY. The average number of employees rose 90% YoY, driven by the growing demand from strategic clients for services in this segment.

Moreover, subsidiaries drove the company’s gross profit by SAR 2.4 million, following the start of their operational activities in line with the approved plans.

Other non-operating revenues rose by SAR 10.1 million YoY, mainly due to the capital gains realized from selling land owned by the company in Al-Narjis district for SAR 13.13 million. The capital gains from the sale amounted to SAR 9.62 million after deducting the land’s value of SAR 3.5 million.

Conversely, administrative and general expenses increased by SAR 10.3 million YoY due to increased salary expenses due to the recruitment of new talents to support the company’s expansion plans in 2024, in addition to annual salary increases.

The expected credit loss provision increased by SAR 2.8 million YoY, based on the expected credit loss model prepared by an external consultant, in line with the growth in the company’s trade receivables resulting from the increase in revenues.

Q3 2024 consolidated revenue rose by SAR 76.1 million, an increase of 64% YoY on the increase of gross and operating profit, as well as the rise in other non-operating revenues compared to the year-earlier period.

On a sequential basis, net earnings rose 41.7% from SAR 20.8 million in Q2 2024.

Total shareholders’ equity, after minority interest, stood at SAR 334.1 million by Sept. 30, 2024, compared to SAR 289.2 million a year earlier.

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