SMASCO’s profits increased by 40% to 40.6 million riyals in the third quarter

The profits of the Saudi Manpower Solutions Company increased "Smasco" In the third quarter of 2025, by 40% to 40.6 million riyals, compared to 29 million riyals in the same quarter of last year.

According to the company’s statement on the website "Saudi Arabia trading"This is mainly due to:

•An increase in the company’s revenues by 15% compared to the same quarter of the previous year.

•An increase in gross profit by 30 million riyals, a rate of 59% compared to the same quarter of the previous year, due to an improvement in the gross profit in the company’s main sectors, business sector services and the individual sector, as a result of the increased demand and as a result of the company implementing initiatives to improve the profitability ratio of the individual sector, especially by improving the diversification of the portfolio to suit Market needs.

• A decrease in general and administrative expenses by an amount of 1.4 million riyals compared to the same quarter of the previous year, which included recording the company’s share of the public offering expenses after listing on Tadawul.

• An increase in selling and marketing expenses by an amount of 1.9 million riyals compared to the same quarter of the previous year as a result of an increase in sales and marketing activity.

• Recording an allowance for doubtful debts amounting to 12 million riyals compared to the same quarter of the previous year, according to the expected credit loss model.

• Recording investment losses amounting to 4.4 million riyals from Waad Home Services Marketing Company, including It is in line with the company’s business plan that was launched in 2025.

The consolidated net income for the current quarter of 2025 increased by 37% compared to the previous quarter, mainly due to:

•The company’s revenues increased by 4% compared to the previous quarter.

•An increase in gross profit by 15 million riyals, or 22%, compared to the previous quarter due to the increase in activity in the company’s sectors, the business sector, the individual sector, and the other services sector.

•An increase in sales and marketing expenses by approximately 1 million riyals compared to the previous quarter as a result of increased sales and marketing activity.

• The allocations for the current quarter increased by approximately 1.7 million riyals compared to the previous quarter (allocation for doubtful receivables and advance payments to suppliers).

• Other revenues increased by approximately 1.2 million riyals compared to the previous quarter. This is mainly due to recording a loss on the redistribution of some activity centers of approximately 0.9 million riyals as part of the normal periodic review and distribution of activity centers in the previous quarter.

• Waad Home Services Marketing Company’s investment losses increased by approximately 0.7 million riyals compared to the previous quarter as a result of the increase in expenses for launching the new brand.

• The provision for zakat expense increased by approximately 1.5 million riyals compared to the previous quarter.

The consolidated net income for the current period increased by 7.3% compared to the similar period of the previous year, mainly due to:

•An increase in the company’s revenues by 9% compared to the similar period of the previous year.

•An increase in gross profit by 54 million riyals, or 33%, compared to the similar period of the previous year. To improve the overall profit in the company’s main sectors, the business sector services and the individual sector, as a result of the high demand and as a result of the company implementing initiatives to improve the profitability ratio of the individual sector, especially by improving the diversification of the portfolio to suit the needs of the market.

• An increase in general and administrative expenses by approximately 3.5 million riyals compared to the similar period of the previous year as a result of an increase in information technology and cybersecurity expenses and related subscriptions, and an increase in consulting and professional services expenses to develop internal procedures in the company, in addition to building depreciation expenses.

• An increase in sales and marketing expenses by approximately 3.5 million riyals compared to the similar period of the previous year as a result of an increase in sales and marketing activity.

• Recording an allowance for doubtful debts amounting to 18.8 million riyals compared to the same period of the previous year, according to the expected credit loss model.

• Recording a decline loss in the value of payments made to suppliers of approximately 5.9 million riyals in the current period, which was not present in the similar period of the previous year.

• A decrease in other revenues by approximately 1.9 million riyals compared to the same period of the previous year. This is mainly due to recording non-recurring revenues in the previous period of approximately 0.9 million riyals, and recording a loss on closing some distribution centers of approximately 0.9 million riyals as part of the re-review and normal periodic distribution of activity centers during the current period.

• Recording investment losses amounting to 11.9 million riyals from Waad Home Services Marketing Company, including It is in line with the company’s business plan that was launched in 2025.

• The allocation for zakat expense increased by approximately 974 thousand riyals compared to the same period of the previous year.

• For more: Follow Khaleejion 24 Arabic, Khaleejion 24 English, Khaleejion 24 Live, and for social media follow us on Facebook and Twitter