Extra profits rise to 177.7 million riyals in the fourth quarter

The profits of the United Electronics Company (Extra) increased in the fourth quarter of 2024 by 40.9% to 177.74 million riyals, compared to 126.08 million riyals in the same quarter of last year.
According to the company’s statement on the Saudi Tadawul, this came as a result of the growth in the company’s revenues, which was reflected in an increase in total profit by 16% to reach 432.5 million riyals in the current quarter compared to 372.8 million riyals for the same quarter of last year.
The company witnessed an improvement in gross profit margin by 1.9% during the current quarter compared to the same quarter last year, and recorded the highest percentage in the company’s history to record 25.8%, and this is due to the improvement in the sales mix and growth in the consumer finance sector.
This performance was reflected positively in net profit, which achieved a growth rate of 40.9%, despite the increase in selling, distribution, general and administrative expenses to support the expansion of the company’s operations.
It is worth noting that the net profit for the current quarter included an amount of 10.5 million riyals in return for the return of allocations after collecting amounts related to debts previously granted by the United Electronics Company in the retail sector. When excluding the financial impact, the growth in adjusted net profit was 32.6%.
During this quarter, the company recorded net profits of 177.7 million riyals, compared to 156.3 million riyals in the previous quarter.
This growth in net profits is due to the increase in the company’s revenues, in addition to the noticeable improvement in the profit margin.
The increase in the company’s revenues, accompanied by an improvement in total profit during the current period as a result of the improvement in the sales mix and growth in the consumer financing sector, had a positive impact on the growth of the company’s net profits, despite the increase in selling, distribution, and general and administrative expenses.
Total profit increased by 14.5% compared to the same period last year, which led to the company recording a net profit of 534.5 million riyals, compared to 390.5 million riyals for the same period last year, achieving a growth rate of 36.9%.
When excluding the effect of non-recurring events, including:
– Stopping the company’s expansion plans in the Arab Republic of Egypt during the same period last year.
– Refunding allocations amounting to 16.3 million riyals in exchange for potential obligations that have no purpose for the retail sector during the current period.
– Collecting debts worth 10.5 million riyals in exchange for returning allocations after collecting amounts related to debts previously granted by the United Electronics Company in the retail sector.
The growth rate of adjusted net profit becomes 18.5%.