Almajed Oud profit rises to SAR 64M in Q1 2024

Almajed Oud Co., which will list shares on the Saudi Exchange (Tadawul) soon, posted a rise in Q1 2024 net profit to SAR 64 million, from SAR 30 million in the prior-year period.

The annual profit growth is attributed to an improved gross profit margin, which rose to 67% in Q1 2024 from 64% a year earlier. This was driven by a decrease in the cost of revenue-to-revenue ratio to 33% during the current quarter from 36% in Q1 2023.

The operating profit margin increased to 27% in Q1 2024 from 19% in the corresponding period a year ago, with the net profit margin also soaring to 25% during the current quarter from 17% in Q1 2023.

Other revenues reached SAR 1.3 million in Q1 2024, compared to other losses of SAR 811,000 in the same period last year, although financing costs surged year-on-year (YoY) during the first three months of this year.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) for the current period rose to SAR 96.6 million, compared to SAR 64 million in the year-ago period.

The company’s board of directors decided, on May 28, on behalf of the general assembly, to distribute a SAR 125 million cash dividend. The payout is part of the company’s 2023 annual profits and retained earnings.