Raydan’s losses decreased by 20% to 10 million riyals in the third quarter
Raydan Food Company’s losses decreased in the third quarter of 2025 by 20% to 10 million riyals, compared to losses of 12.5 million riyals in the same quarter of last year.
According to the company’s statement on the website "Saudi Arabia trading"The reason for the increase in net profit during the current quarter compared to the same quarter of the previous year is due to: a decrease in revenues and a decrease in revenue costs.
The reason for the increase in net profit during the current quarter compared to the previous quarter is due to: a decrease in revenues and a decrease in revenue costs.
According to the statement, the reason for the increase in losses during the current period compared to the similar period of the previous year is due to: a decrease in revenues, and the company not obtaining Hajj contracts this year.
Accumulated losses
Raydan Company announced Food Company reported that its accumulated losses reached 66.8% of the capital, based on the preliminary financial results ending on 09-30-2025. Riyal.
She indicated that the main reasons that led to these losses:
1. Decreased sales.
2. Decreased revenues from contracts and franchising.
3. High selling and marketing expenses.
4. Expense for the decline in the value of the right to use assets.
5. Expense of decline in land value. (Depreciation in property and equipment).
6. The company’s share of discontinued operations – a subsidiary under liquidation.
7. Losses on impairment assessment of investment in the associate.
8. The company’s share of the associate company’s losses.
9. High cost of revenues.
She explained that the measures the company will take regarding these losses:
1. Restructuring the service and operational sectors.
2. Increasing branch sales by diversifying products within restaurants and focusing on delivery services through a comprehensive marketing plan.
3. Focus on the subsistence sector and enhance revenues by signing long-term strategic agreements.
4. Reducing operational expenses by unifying warehouses, slaughterhouses and the central kitchen.
5. Geographical expansion in areas not currently covered through subsistence contracts, in addition to opening branches there to enhance presence.
6. Restructuring the commercial franchise and geographical expansion, especially outside the Kingdom.
She stated that the date of the last day on which the Board of Directors can disclose its recommendations regarding the accumulated losses: July 13, 2025. whose accumulated losses amounted to 20% or more of its capital.
The Board of Directors recommended initiating the required procedures and adhering to the relevant rules and regulations regarding companies whose losses exceeded 50% of the capital in terms of disclosure and preservation of shareholders’ rights and interests.
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