BAAN makes SAR 5.2M profit in 2024, loses SAR 12.4M in Q4

BAAN Holding Group Co. turned to a net profit of SAR 5.2 million in 2024 from a net loss of SAR 89.8 million in 2023.

The positive results were driven by an increase in occupancy rates and average room prices in the group’s hotels during Q1 and Q4 2024 due to the rise in events and exhibitions, particularly in Riyadh.

Other income grew by SAR 16.97 million, mainly due to the group's entry into the catering and food services sector, which commenced operations in 2024. This is one of the key areas the group aims to expand into.

Additionally, the group completed the development and renovation of two major entertainment centers in Riyadh and Jeddah and opened a new entertainment center in Jeddah.

BAAN recorded an operating profit of SAR 61.99 million against an operating loss of SAR 1.90 million in 2023.

On the other hand, revenue decreased by 8.55% YoY to SAR 678.70 million in 2024.

Revenue from the hospitality segment decreased by SAR 39.55 million, as a number of loss-making hotels were divested in 2023. Revenue was also affected by the shutdown of a hotel in Riyadh due to a fire incident during the fourth quarter of 2023.

Revenue from the entertainment segment shrank by SAR 40.86 million, as revenues from the construction and development of third-party projects in 2023 amounted to SAR 54.23 million, compared to SAR 4.47 million in 2024.

In Q4 2024, BAAN incurred a net loss of SAR 12.4 million, a decline of 81.6% from SAR 67.5 million in Q4 2023.

The company reported net earnings of SAR 7.2 million in Q3 2024.

Total shareholders’ equity, excluding minority interest, reached SAR 206.64 million as of Dec. 31, 2024, compared to SAR 203.43 million a year earlier.

Accumulated losses stood at SAR 109.01 million by the end of the 12-month period, accounting for 34.61% of the company’s capital.

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