Seera Group, based in Saudi Arabia, saw its profit rise by 65% to $11 million in the third quarter due to strong revenue growth
Saudi travel company Seera Group Holding announced on Wednesday that its net profit for the third quarter increased by 65.4% compared to last year, reaching $11.4 million (SAR 43 million), thanks to strong revenue growth.
Third-quarter performance
The company’s revenue increased by 24.2% to $56.1 million (SAR 995 million), up from $45.2 million (SAR 801 million) in the same period last year, according to a report on the Saudi Stock Exchange (Tadawul).
This revenue growth came from a boost in its car rental business, new acquisitions in the UK travel investment sector, and growth in its travel platform.
Seera Group’s net profit grew because of higher sales and better profit margins due to a strong product mix and higher margins in both the travel platform and the UK travel investment business.
The company’s gross profit also grew by 24.2% year-on-year to $117.7 million (SAR 442 million) for the quarter ending September 30, 2024.
Seera Group’s operating profit jumped by 55% year-on-year to $24.8 million (SAR 93 million), up from $16 million (SAR 60 million) in the same quarter last year.
Overall, its total income increased by 77.4% compared to last year, reaching $14.6 million (SAR 55 million) for the July–September quarter of 2024.
Nine-Month Financial Results
For the first nine months of the year, the company earned $825.5 million (SAR 3.1 billion) in revenue, which is a 36.4% increase compared to the same period last year. As a result, net profit rose by 16.8%, reaching $46.3 million (SAR 174 million).
The company’s operating profit also grew by 31.7%, amounting to $84.1 million (SAR 316 million) from January to September.
Additionally, its total comprehensive income increased by 4.4%, reaching $62.6 million (SAR 235 million) compared to last year.
Stock Price Drop
Seera Group Holding’s stock fell by 1.9%, to $6.01 (SAR 22.58) as of 11:33 AM AST on Wednesday. This drop brought the company’s market value to $1.8 billion (SAR 6.9 billion).
Published: 6th November 2024
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