Latest news with #RedSeaInternationalCompany
Zawya
5 days ago
- Business
- Zawya
Saudi: Red Sea International achieves 44% growth in operating profits for H1 2025
Red Sea International Company announced its consolidated financial results for the first six months of 2025, reporting a net profit of SR1.87 million, a 168% improvement compared to the first half of 2024. However, net profit for Q2 2025 reached SR6.39 million, representing a 31% decline compared to Q2 2024. By the end of Q2 2025, revenues for the first half reached SR1,479 million, marking a 54% increase compared to H1 2024. Q2 2025 revenues stood at SR779 million, up 4% compared to Q2 2024. This growth was mainly driven by improved performance and higher project completion rates. Operating profit for the first six months of 2025 reached SR42.8 million, an increase of 44% compared to the same period in 2024. Operating profit for Q2 2025 stood at SR23.72 million, down 10% compared to Q2 2024. This performance improvement in the first half of the year came despite lower overall profitability, primarily due to accounting adjustments related to the Amortization of Purchase Price Allocation (PPA). In 2024, the company carried out a PPA for the acquisition of First Fix Company for Electrical Works Ltd., which resulted in an accounting loss of SR121.75 million in 2024 and SR48.7 million in H1 2025. These losses are purely accounting adjustments required under the International Financial Reporting Standards (IFRS) and do not represent actual operational losses. This has been clarified in the notes to the consolidated financial statements for the periods ending 31 March 2025 and 30 June 2025. To address the impact of the PPA provision, the company is implementing the Board of Directors' recommendation to increase capital by converting debts owed to minority shareholders (the sellers) in First Fix — specifically, the deferred portion of the acquisition price — into shares. The company has submitted this request to the Capital Market Authority, and it is currently under review, with a decision expected soon. © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (
Saudi Gazette
5 days ago
- Business
- Saudi Gazette
Red Sea International achieves 44% growth in operating profits for H1 2025
Red Sea International Company announced its consolidated financial results for the first six months of 2025, reporting a net profit of SR1.87 million, a 168% improvement compared to the first half of 2024. However, net profit for Q2 2025 reached SR6.39 million, representing a 31% decline compared to Q2 2024. By the end of Q2 2025, revenues for the first half reached SR1,479 million, marking a 54% increase compared to H1 2024. Q2 2025 revenues stood at SR779 million, up 4% compared to Q2 2024. This growth was mainly driven by improved performance and higher project completion rates. Operating profit for the first six months of 2025 reached SR42.8 million, an increase of 44% compared to the same period in 2024. Operating profit for Q2 2025 stood at SR23.72 million, down 10% compared to Q2 2024. This performance improvement in the first half of the year came despite lower overall profitability, primarily due to accounting adjustments related to the Amortization of Purchase Price Allocation (PPA). In 2024, the company carried out a PPA for the acquisition of First Fix Company for Electrical Works Ltd., which resulted in an accounting loss of SR121.75 million in 2024 and SR48.7 million in H1 2025. These losses are purely accounting adjustments required under the International Financial Reporting Standards (IFRS) and do not represent actual operational losses. This has been clarified in the notes to the consolidated financial statements for the periods ending 31 March 2025 and 30 June 2025. To address the impact of the PPA provision, the company is implementing the Board of Directors' recommendation to increase capital by converting debts owed to minority shareholders (the sellers) in First Fix — specifically, the deferred portion of the acquisition price — into shares. The company has submitted this request to the Capital Market Authority, and it is currently under review, with a decision expected soon.
Leaders
25-06-2025
- Business
- Leaders
Red Sea International Announces Its Intention to Conduct Initial Public Offering of Subsidiary
Red Sea International Company has announced its intention to conduct an initial public offering (IPO) for its subsidiary, 'Initial Saudi Group for Electrical Works Ltd.' The company's Board of Directors has approved the material transaction, which remains subject to the approval of Red Sea International's shareholders in accordance with Article (107) of the Rules on the Offer of Securities and Continuing Obligations. تعلن شركة البحر الأحمر العالمية عن نيتها إجراء طرح عام أولي لشركتها التابعة، شركة التركيبات الأولية للأعمال ال — Tadawul News (@TadawulFeed) June 25, 2025 In a statement on the Saudi Exchange (Tadawul), the company clarified that, although it will not be selling any of its shares in Initial Saudi Group for Electrical Works Ltd. Moreover, through the IPO, the transaction is considered material due to the significance of the subsidiary to Red Sea International's operations and the impact of the IPO on a key subsidiary. Accordingly, and in line with Articles (102) to (110) of the Rules on the Offer of Securities and Continuing Obligations, shareholder approval is a prerequisite for the Capital Market Authority's approval of the transaction. The company confirmed that it will issue a separate invitation to its shareholders to attend a General Assembly meeting to vote on the material transaction. It will also circulate a shareholder circular providing more information about the proposed transaction. Related Topics: Saudi Arabia Launches Landmark SAF Initiative at Red Sea International Airport Don't Miss These Breathtaking Highlights from Riyadh Fashion Week 2024 Riyadh Fashion Week: Saudi Arabia's Design Scene Flourishes RFW 2024: Revolutionary Transformation in Saudi Fashion Scene Short link : Post Views: 2 Related Stories
