A filing on Tadawul indicated that Saudi Arabia’s Taiba Investments Co. increased its annual profit by 9.32 percent to $97.20 million, following an upsurge as pilgrim flows lifted revenue to SR1.36 billion.
Net profit after tax to the shareholders grew by SR333.7 million compared to the previous year, and the earnings per share rose to SR1.40 from SR1.28. The revenue increased by 3.7 percent to SR1.36 billion in the period ending on Dec. 31 against SR1.32 billion in 2024.
Taiba, a hospitality and real estate developer supported by the sovereign wealth fund of the Kingdom, Public Investment Fund, with its main interests in the assets of hotels and property, mainly in the sacred cities of Makkah and Madinah.
In a Tadawul filing, the company said, “This growth was primarily driven by improved performance across the company’s segments in Makkah and Madinah, supported by higher numbers of visitors and Umrah pilgrims, the commencement of operations of new facilities, and increased revenues from the real estate segment.”
Taiba Investments stated, that the SR31.1 million increase in net profit was largely due to its recorded better operating performance, turnaround of a litigation provision that was previously recognized in 2023 following the end of a contractual relationship with one of the operators following a settlement between the two parties, and capital gains as a result of the expropriation of one of its properties in Madinah.
The total comprehensive income attributable to shareholders decreased 55.53 percent to SR198.2 million from SR445.7 million.
The other comprehensive income had recorded a loss of SR166.6 million, which is in contrast to a gain of SR111.9 million in the preceding year, which was mainly caused by a decrease in the fair value of the financial derivatives used in hedging and a decrease in the market value of some of the investments measured at fair value through other comprehensive income.
The equity of the shareholders was slightly enlarged by 0.04 percent to SR6.85 billion. Taiba’s share price saw a 3.03 percent increase to SR34 by 10:20 am Saudi time.
