Saudi Cable Co. announces its Interim Financial results for the Period Ending on 2026-06-30 ( Six Months )

Saudi Cable Co. reported a net profit of SAR 26.1 million for the first half of 2026, marking a 59.8% decrease from the SAR 64.9 million recorded in the prior-year period, while quarterly net profit fell 86.4% to SAR 2.5 million.
Total revenue for the six-month period declined by 35% to SAR 48.3 million, driven largely by persistent liquidity constraints and reduced customer advance payments that severely restricted working capital.
Profitability was pressured by a 19% decline in the share of profit from associate Midal (to SAR 99 million), alongside rising raw material costs and regional geopolitical friction that increased logistics and transportation expenses.
Auditors highlighted a material uncertainty regarding the company's ability to continue as a going concern, noting that accumulated losses of SAR 248.7 million represent 373% of capital and current liabilities exceed assets by SAR 669.5 million.

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Sales/Revenue	26,035	30,191	-13.765	22,274	16.885
Gross Profit (Loss)	-9,649	-14,627	-34.032	-8,248	16.985
Operational Profit (Loss)	-33,843	-41,549	-18.546	-29,059	16.463
Net Profit (Loss) Attributable to Shareholders of the Issuer	2,471	18,228	-86.443	23,614	-89.535
Total Comprehensive Income Attributable to Shareholders of the Issuer	13,320	18,565	-28.252	41,804	-68.137
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Sales/Revenue	48,309	74,297	-34.978
Gross Profit (Loss)	-17,897	-18,876	-5.186
Operational Profit (Loss)	-62,902	-55,389	13.564
Net Profit (Loss) Attributable to Shareholders of the Issuer	26,085	64,886	-59.798
Total Comprehensive Income Attributable to Shareholders of the Issuer	55,124	59,273	-6.999
Total Shareholders Equity (after Deducting Minority Equity)	-159,227	-360,168	-55.79
Profit (Loss) per Share	3.91	9.72
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Amount	Percentage of the capital (%)
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value	-	-
Accumulated Losses	-248,747	-373
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the same quarter of the last year is	Revenue declined by 14% compared to the same quarter of previous year due to a mix of financial and liquidity issues. An estimated 60–70% of the decrease is driven by persistent liquidity constraints and reduced customer advance payments that severely restricted working capital.
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	The net profit for the period declined primarily as a result of lower revenue, coupled with an increase in overall costs. The rise in costs was largely attributable to higher raw material prices. Additionally, operating expenses increased during the quarter, further contributing to the reduction in profitability. Also ongoing regional geopolitical conditions added logistics and transportation friction that further burdened unabsorbed factory overheads.
The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the previous one is	The Sale of Goods declined by 12% from Q1 2026, while Contract Revenue increased significantly by 55%, mainly driven by higher progress on customer contracts during Q2 2026. Consequently, total revenue increased by 17% compared to the previous quarter, indicating improved performance from contract execution.
The reason of the increase (decrease) in the net profit (loss) during the current quarter compared to the previous one is	The net profit for the period declined primarily with an increase in overall costs. The rise in costs was largely attributable to higher raw material prices. Additionally, operating expenses increased during the quarter, further the Share of Assocoate Profit has been decreased by 19% contributing to the reduction in profitability. Also ongoing regional geopolitical conditions added logistics and transportation friction that further burdened unabsorbed factory overheads.
The reason of the increase (decrease) in the sales/ revenues during the current period compared to the same period of the last year is	Revenue for Q2 2026 declined by 35% compared to Q2 2025 due to a mix of financial and liquidity issues. An estimated 60–70% of the decrease is driven by persistent liquidity constraints and reduced customer advance payments that severely restricted working capital.
The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is	The net profit for the period declined primarily as a result of lower revenue, coupled with an increase in overall costs. Additionally, general and administrative expenses increased during the quarter, further the Share of Assocoate Profit has been decreased by 19% contributing to the reduction in profitability. Also ongoing regional geopolitical conditions added logistics and transportation friction that further burdened unabsorbed factory overheads. The company's share of the profits of an associate company, Midal, amounted to 99 million, which has an decrease of 19% of previous period profits. The company has recorded net profit from operations amounting to SAR 26,085 million, mainly resulting from its share of profit from an associate.
Statement of the type of external auditor's report	Unmodified conclusion
Comment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion)	We draw attention to note 1 of the condensed consolidated financial statements which indicates that for the period ended June 30, 2026, the Group incurred a net profit of SAR 26 million (June 30,2025: net profit of SAR 64.8 million), and the Group’s accumulated losses have reached SAR 248.7 million (December 31, 2025: SAR 274,8 million), representing 372.8% (December 31, 2025: 412%) of the Group’s share capital. Further, the Group current liabilities exceeded its current assets by SAR 669.5 million as at June 30, 2026 (December 31, 2025: SAR 670 million). These conditions, along with other matters, cast significant doubt about the Group’s ability to continue as a going concern and its ability to meet its obligations when it becomes due. In this regard, management has prepared forecasts for 2026 that indicate net profit and positive cash flows. The plan includes certain assumptions related to cash injections through the issuance of rights issue instruments, as well as revenue growth based on future orders and tenders, these elements represent future events and therefore involve material uncertainty regarding their outcome. Our opinion has not been modified in respect of this matter.
Reclassification of Comparison Items	Certain prior period figures have been reclassified to conform to current period presentation, which are not material in nature
Additional Information	-