MIS sees 25% business growth in 2024: CEO

Abdullah AlGhamdi CEO of MIS

Al Moammar Information Systems (MIS) expects business growth to continue this year between 15% and 25%, CEO Abdullah AlGhamdi told Argaam in an exclusive, adding that MIS will post positive results in the first quarter of 2024.

The volume of contracts awarded in 2023 neared SAR 2.3 billion in all technology fields and solutions, whether in digital infrastructure, system solutions - such as artificial intelligence (AI), data science, Internet of Things, etc. - cybersecurity and its services, managed services, platform and application monitoring technologies, and the related solutions.

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The backlog stands at about SAR 2.3 billion, AlGhamdi said, adding that MIS aims to secure new contracts in 2024 with a growth rate of no less than 15% from the previous year.

New awards in the fourth quarter of 2023 were valued at over SAR 760 million, and their financial impact will appear starting from the signing date depending on the nature of business and outcomes, whose impact will also show in the upcoming periods.
 

Commenting on the financial results, AlGhamdi stated that the operating performance of the company achieved robust growth in terms of revenues, implying continued growth and expansion of the company's business, except for the negative impact of the non-cash provisions. This impact led to an increase in provisions by SAR 87.45 million, taken during the year. In addition, there was an increase in financing costs, which are expected to decrease this year based on current expectations, which will bode well for profits.

He added that the subsidiaries operate according to the plans approved by the board of directors through continuous expansion in activities, whether in the financial technology field, cloud computing, data center management, or medical technologies and services.

Moreover, the MISpay application for "buy now, pay later" was launched at the end of the third quarter of 2023, with the company's customer base reaching nearly 90,000 clients, an excellent number achieved in a short period.

He further pointed to ongoing expansion in the number of partners, expecting a surge in the number of clients and merchants during 2024. The company evaluates expansion plans for MISpay through funding rounds or public offerings in the coming two years.

The Open Banking Platform application, which is in final stages, is expected to be launched soon after obtaining the necessary approvals from competent authorities. It was named MISconnect. As for the medical unit, it demonstrated solid performance, along with a good growth trajectory during 2024 and the coming years.

MIS has invested in several fields in the previous periods, including an investment of SAR 25 million in the digital bank, and SAR 37.5 million in both OpenAI and ANTHROBIC in the field of AI.

He added that the company also invested in a Saudi Data Center Fund established in collaboration with Saudi Fransi Capital (SFC), in addition to its investment in Nomu-listed Edarat, where MIS owns a 40% stake.

MIS seeks, guided by its board of directors, to invest in renewable technology sectors such as AI and fintech through global companies to serve the interests of shareholders and contribute to boosting the company's revenues and profits.

He stated that any upcoming investments will be announced through official channels. The company is studying to continue investing in AI, new technologies, and the related infrastructure within the Kingdom in cooperation with some financial entities, as was the case with SFC.