Arab News, Sun, Tue, May 14, 2024 | Dhu al-Qadah 6, 1445
Saudi benchmark index closes in green with $1.8bn trade volume
Saudi Arabia:
Saudi Arabia’s Tadawul All Share Index wrapped up Monday’s trading session
at 12,259.60 points, witnessing an increase of 42.55 points,
or 0.35 percent.
Nomu, the parallel market, ended the day
at 26,859.37 points, shedding 336.56 points or 1.24 percent. Concurrently, the
MSCI Tadawul Index grew by 5.34 points to close at 1,535.83, a 0.35 percent
increase.
TASI reported a trading volume of SR7 billion
($1.86 billion), with 85 stocks making gains and 134 witnessing declines.
Nomu, on the other hand, saw a trading volume of
SR28 million.
On the announcements front, ADES reported a
substantial revenue increase of 60.5 percent year on year to SR1.53 billion in
the first quarter of 2024, fueled by significant contributions across its
operational regions.
According to its financial results, the deployment
of all 19 rigs for the Aramco megaproject beginning in March, up from only four
in the same period last year, was a key driver.
Additionally, Kuwait’s operations generated SR152
million following the activation of all recently awarded contracts, achieving a
total of 10 operational rigs, according to a bourse filing.
In India, the gradual deployment of three rigs
contributed SR40 million.
The company’s net profit saw a remarkable surge of
124.6 percent year on year to SR200.9 million, benefiting from strong revenue
performance and enhanced earnings before interest, taxes, depreciation, and
amortization margins.
Abdullah Al Othaim Markets Co. also released its
financial results for the first quarter of 2024, witnessing a 3 percent drop in
profits despite an increase in revenue.
The company reported profits of SR116.4 million,
down from SR120 million during the same period in 2023.
This decline was attributed to higher expenses
linked to new branches, including a SR4.7 million increase in leasing finance
costs, a SR2.3 million decrease in the performance of associate companies, and a
SR4.8 million decrease in profits from Sharia-compliant liquidity investments.
Despite the decrease in profits, the company
experienced a 9 percent growth in sales, bolstered by both existing and newly
opened branches during the quarter.
Saudi Ground Services Co. also saw an increase in
revenue with total earnings reaching SR653.2 million for the current quarter,
marking a 15.8 percent rise from SR563.9 million recorded in the same quarter of
the previous year.
This surge was primarily driven by an uptick in
domestic and international flights and an increased number of Umrah pilgrims.
Consequently, the company’s net profit soared by
77.7 percent, amounting to SR71.2 million, compared to SR40 million in the prior
year’s corresponding quarter.
The rise in profits was attributed to the
significant revenue growth and effective cost management strategies, including a
reduction in administrative expenses and a boost in other income.
Riyadh Cables Group Co. also closed the first
quarter in green, with revenues leading to significant financial growth.
The company reported a profit increase to SR169
million in the first quarter of 2024, up 35.3 percent from SR124.8 million in
the same quarter last year.
The company attributed this robust growth
primarily to an increase in sales revenues and the volume of quantities sold,
bolstered by a diversification of the products sold.
Moreover, the operating profit for the first
quarter reached SR208.2 million, marking a 34 percent increase from SR155.5
million in the corresponding quarter of the previous year.
Saudi Arabian Mining Co., also known as Ma’aden,
saw a significant increase in net profits despite a drop in revenue for the
first quarter of 2024.
The company’s sales decreased to SR7.3 billion, a
9 percent drop compared to the same quarter of the previous year, primarily due
to lower commodity prices across all products except gold and alumina.
However, this was partially offset by higher sales
volumes of primary aluminum, ammonia, and gold.
Net profits surged by to reach SR981 million, a
134 percent increase compared to Q1 2023, largely attributed to a SR828 million,
52 percent, increase in gross profit.
This improvement was driven by higher sales
volumes, reduced raw material costs, lower depreciation expenses, and a one-time
insurance claim of SR199 million for relining pots within smelter plants.