| Element List | Current Year | Previous Year | %Change | ||
|---|---|---|---|---|---|
| Sales/Revenue | 54,124,399 | 46,893,033 | 15.42 | ||
| Gross Profit (Loss) | 16,367,961 | 19,008,621 | -13.89 | ||
| Operational Profit (Loss) | 5,044,000 | 11,888,800 | -57.57 | ||
| Net Profit (Loss) Attributable to Shareholders of the Issuer | 5,107,383 | 12,081,412 | -57.73 | ||
| Total Comprehensive Income Attributable to Shareholders of the Issuer | 5,284,147 | 12,094,037 | -56.31 | ||
| Total Shareholders Equity (after Deducting Minority Equity) | 46,383,884 | 41,099,737 | 12.86 | ||
| Profit (Loss) per Share | 0.26 | 0.6 | |||
| All figures are in (Actual) Saudi Arabia, Riyals | |||||
| Element List | Amount | Percentage of the capital (%) | |
|---|---|---|---|
| Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value | - | - | |
| All figures are in (Actual) Saudi Arabia, Riyals | |||
| Element List | Explanation |
|---|---|
| The reason of the increase (decrease) in the sales/ revenues during the current year compared to the last year | The company’s revenue increased by 15.42% to SAR 54,124,399, compared to SAR 46,893,033 in the previous year, representing an increase of SAR 7,231,366. This growth is primarily attributable to the expansion of the company’s network of owned branches, as well as the introduction of new products that contributed to enhancing revenue. |
| The reason of the increase (decrease) in the net profit during the current year compared to the last year is | The company’s net profit after Zakat and tax decreased by 57.73% to SAR 5,107,383, compared to SAR 12,081,412 in the previous year, representing a decline of SAR 6,974,029. The decrease in net profit during the period is mainly attributable to the company incurring non-recurring expenses, including professional fees related to the listing on the Nomu market, the recognition of expected credit loss provisions amounting to SAR 2,542,936, and capital losses resulting from the closure of certain branches amounting to SAR 397,891. The company considers these expenses to be exceptional and non-recurring in nature, and expects them to contribute to improved profit margins in future periods. Net profit was also impacted by the company’s execution of strategic investments aimed at supporting future growth, represented by a gradual shift from the franchise model to expanding company-owned branches. The number of owned branches increased from 12 in the previous year to 45 by the end of the current period. This expansion resulted in higher operating costs associated with the growth phase, including pre-operating expenses for new branches and the strengthening of the organizational and administrative structure to support expansion. |
| Statement of the type of external auditor's report | Unmodified opinion |
| 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) | Yes |
| Reclassification of Comparison Items | Certain comparative figures have been reclassified to conform with the presentation of the current period. |
| Additional Information | The company would like to clarify that it has corrected an accounting treatment related to the acquisition of fixed assets completed during 2024 against outstanding liabilities. The assets were previously recognized at fair value based on reports issued by independent certified valuers, with the resulting differences recorded under other income in the statement of profit or loss for that year. Upon review, it was identified that there was an overlap in the application of accounting treatments between the requirements of IFRS 3 Business Combinations and IAS 16 Property, Plant and Equipment, which requires assets to be recognized at cost without recognizing any gains arising from such transactions in the statement of profit or loss. Accordingly, during the year ended 31 December 2025, the company corrected the treatment retrospectively in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors by restating the comparative figures and reversing the impact of the previous treatment. This resulted in a decrease in net profit for the comparative period of 2024 due to a reduction in other income by SAR 2.5 million, which was also reflected in the adjusted retained earnings balance as at 1 January 2025. These items are non-operating in nature, as they were classified under other income, and did not have any cash impact or effect on the company’s core operating performance. The management is currently implementing initiatives to enhance operational efficiency and improve performance, alongside expanding company-owned branches and executing investment plans. During the period, more than 30 new branches were opened, and investments exceeding SAR 9 million were deployed. In addition, the company is focusing on improving working capital management and developing its operating framework, with the impact of these initiatives expected to materialize gradually over the coming periods. The company also expects to achieve revenue growth in 2026, supported by the diversification of revenue streams, increased geographical presence, and the strengthening of operational and organizational capabilities, contributing to improved efficiency and sustainable value creation for shareholders. |
