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United Electronics Co. (eXtra) is expected to see continued growth on the Kingdom's decision to nationalize jobs in electronics and home appliance stores, chief executive Mohamed Galal told Argaam in an exclusive on Monday.
The move has helped the market against commercial concealment and has made retailers more organized, he added.
The company boosted its market share by 20 percent to reach 14 percent in Q3 2018, compared to 11.6 percent a year earlier despite a 17 percent year-on-year decline in the size of home appliance and electronics market.
“The higher market share led to a 15 percent YoY rise in our sales during the third quarter,” Galal said.
The company is targeting unprecedented market share growth and reach the largest number of clients across the Kingdom, through launching new showrooms, eXtra’s e-platform, and offering of improved products and installment services.
The company aims to maintain its position as a top destination for. It is also still working to enhance customer service strategies, while generating the highest return on assets.
eXtra has maintained strong gross profit, despite promotions and discounts. Net profit was also bolstered by a better sales mix, as well as after-sale and installment services, and an increase in the average value of customer carts, Galal added.
eXtra reported a rise of 18.9 percent year-on-year (YoY) in Q3 2018 net profit after zakat and tax to SAR 98 million.
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