Middle East business potential to flourish despite global turbulence: report

RIYADH: Saudi Arabia’s Tadawul All Share Index closed at 12,656.94 points on Monday, marking a decrease of 139.15 points or 1.09 percent. 

Conversely, the parallel market, Nomu, concluded at 27,237.44, registering an uptick of 397.03 points or 1.48 percent. 

The MSCI Index descended by 20.19 points to settle at 1,592.39, a drop of 1.25 percent.  

On the announcement front, Jabal Omar Development Co. has reported a remarkable turnaround in its financial results for 2023.  

The company has witnessed a substantial increase in revenues and a shift from a net loss of SR352 million ($94 million) last year to a net profit of SR35.8 million this year. 

Moreover, the group saw a rise in revenues, marking a 56 percent growth compared to the previous year, which is largely due to the substantial improvements in hotel occupancy and average room rates, according to a bourse filing. 

Additionally, the firm’s commercial centers have witnessed a notable revenue increase, contributing to the overall financial growth. 

One of the pivotal factors lending to the company’s net profit this year is the recognition of a gain of SR391 million from the sale of land in the Jabal Omar project.  

Moreover, a reduction in operating expenses by 20 percent has further enhanced the group’s profitability.  

Saudi Networkers Services Co. has also unveiled its financial results for 2023, highlighting a robust performance with significant revenue and profit increases.  

According to a bourse filing, the company’s earnings surged to SR554.7 million, up 15.88 percent from SR478.6 million in the previous year. This was largely driven by expanded business with existing clients and the acquisition of new customers.  

The firm’s gross profit witnessed an uptick of 16.33 percent, standing at SR73.8 million compared to SR63.4 million in 2022.  

This was complemented by a 20.69 percent increase in operational profit, which reached SR43.2 million from the previous year’s SR35.8 million. 

Net profit experienced a notable rise, escalating 21.5 percent to SR36.5 million from SR30 million in 2022, reflecting the company’s effective strategies and operational efficiencies.  

The total comprehensive income also grew, reaching SR38.7 million, a 17.26 percent increase from SR33 million the prior year. 

This financial growth translated into a positive impact on shareholder value, with earnings per share rising to SR6.1 from SR5 in 2022. 

Moreover, Jamjoom Pharmaceuticals Factory Co. has unveiled impressive financial results for 2023, demonstrating a significant leap in revenue and net profit.  

The company recorded a 20.1 percent increase in earnings, reaching SR1.1 billion compared to the previous year’s SR916.7 million.  

This growth is largely due to enhanced sales in the Saudi market, bolstered by new brand introductions, price optimizations, and a marked uptick in exports, particularly in the Gulf region, North Africa, and Iraq. 

The net profit for the company soared by 70.7 percent to SR292.4 million from the prior year’s SR171.3 million.  

This substantial increase is attributed to the revenue surge coupled with efficient selling and distribution expense management and a significant reduction in finance costs.