Maharah’s profit up 6% to SAR 154.1 mln; Q4 at SAR 40.2 mln

Maharah Human Resources Co. reported a net profit of SAR 154.1 million for 2022, a rise of 6% from SAR 144.9 million in 2021.

The domestic labor services provider’s revenue jumped 28% year-on-year (YoY). The revenue from corporate and individual segments increased by 20% and 34% YoY, respectively, on an increase in the average number of resources by 19%.  Further, the company recognized revenue from the new strategic contracts in the corporate segment, and from the newly established and acquired entities. 

Maharah’s corporate and individual segments witnessed a 14% YoY increase in gross profit. On the other hand, gross profit was impacted by the performance of the facilities management, logistics, and home healthcare sectors.

Investment in the associates acquired during the third quarter of 2022, Care Shield Holding Co. and Saudi Medical Systems Co., achieved a full-year income of SAR 56 million.

In addition, the company’s investment in financial instruments through profit or loss has pushed income higher by SAR 1.9 million, compared to the previous year.

On the other hand, general and administrative expenses increased by SAR 32.7 million compared to 2021. Sales and marketing expenses also rose by SAR 3.3 million YoY due to higher advertising expenses. Maharah recognized doubtful debt provision expenses of SAR 8.4 million. Financing cost went up by SAR 9.1 million during 2022.

The fourth-quarter net profit grew by 2% to SAR 40.2 million, from 39.27 million in the year-earlier period.

Net profit dropped 35.1% quarter-on-quarter from SAR 61.93 million in Q3 2022.  

Shareholders’ equity, after minority interest, increased to SAR 599.11 million as of Dec. 31, 2022, from SAR 572.44 million a year earlier.

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