March 29, 2025 - The company's total revenue increased by 64,165,895 SAR compared to the previous year, reflecting a 47.65% growth, driven by an increase in contracts and projects undertaken.
The decline in net profit for 2024 compared to 2023, despite revenue growth, was primarily due to rising costs that offset the positive impact of increased revenue. The main contributing factors were:
1. Engagement in low-margin projects: The company strategically pursued certain projects to maintain its business presence, despite lower profitability.
2. Higher labor costs: Increased salaries and additional staff hiring led to a rise in operational expenses.
3. Project specification modifications: Changes made after project awards resulted in increased costs, with ongoing negotiations for financial compensation.
Due to these factors, despite revenue growth, the increase in costs, administrative expenses, losses, and provisions significantly impacted the decline in net profit for 2024 compared to 2023.