The increase in the profits of “Mabco” to 5.2 million riyals in the second quarter of 2025

The profits of the Middle East Company for the manufacture and production of paper “MBCO” increased in the second quarter of 2025 by 29.4% to 5.2 million riyals, compared to 4 million riyals in the second quarter of 2025.
According to the company’s statement on Saudi Arabia’s trading, this is mainly due to the disciplined management and government support to reduce the impact resulting from the high price of fuel and low public and administrative expenses.
The reasons included: the noticeable height in the other revenue item. Despite the decline in the margin of the total profit compared to the same quarter of the previous year, the company has succeeded in achieving a stronger performance at the level of net profit, supported by improved operational efficiency and applying effective measures to rationalize costs
Safi profit maintained his durability, recording a slight decline of 2 %on a quarterly basis, mainly due to the relative rise in administrative and public expenses.
Nevertheless, the company was able to maintain a strong operational profitability, which reflects the durability of the financial basics and operations discipline.
This stability is a positive indication of the company’s ability to achieve future growth, and enhances management confidence in the path of creating sustainable value in the long term.
The company recorded a net profit of 10.5 million riyals and a comprehensive profit of 11.3 million riyals in the first half of 2025, achieving a fundamental shift compared to a net loss of 14 million riyals during the same period in the previous year.
This positive improvement is due to a noticeable improvement in the basic operational performance and government support to reduce the impact resulting from the high price of fuel, which was reflected in achieving a 25 million riyals profit.
The reflect of the allocate for the low value of the expected credit losses in the amount of 2.5 million riyals also contributed to supporting this transformation, which reflects an improvement in the quality of the city’s receivables and to enhance the procedures of credit risk management.