Naseej posts net profit of SAR 20.9 mln in 2021; Q4 at SAR 5.3 mln

Logo of Naseej for Communication and Information Technology Co.

Naseej for Communication and Information Technology Co., which began trading on Nomu-Parallel Market today, May 24, reported an over twofold increase in net profit of SAR 20.9 million (SAR 4.18 per share) for 2021, compared to SAR 9.6 million a year earlier.

This growth was primarily propelled by a decline in operating expenses (opex), as administrative expenses also dropped due to a decrease in the expected credit loss provisions to SAR 3.1 million in 2021, from SAR 12.3 million a year earlier. Moreover, selling expenses retreated on lower salaries, wages and other benefits.

All segments reported higher profit for 2021. Knowledge assets – the company’s main segment – led the way, with a surge of 89%, or SAR 11.3 million, year-on-year (YoY) in annual net profit.

The education segment posted a rise in 2021 net profit to SAR 4 million from SAR 14 million a year earlier. E-solutions’ net profit jumped 57% YoY to SAR 4.8 million.

On the other hand, the GCC sales plunged 81% YoY to SAR 12.3 million, as shown in the following table:

Income Statement Highlights Since 2019 (SAR mln)
Item	2019	2020	2021
Sales	177.8	205.5	194.4
Gross Income	59.6	69.7	60.8
Gross Profit Margin (%)	33.5%	33.9%	31.3%
Net profit	3.5	9.6	20.9
Number of Shares (mln)	5.00	5.00	5.00
EPS (SAR)	0.69	1.93	4.18

 

The following table illustrates Naseej’s balance sheet since 2019:

 

Balance Sheet Highlights (SAR mln)
Item	2019	2020	2021
Cash and Equivalent	35.7	57.7	43.4
Current Assets	192.2	184.0	177.9
Non-Current Assets	16.2	15.0	14.9
Total Assets	208.4	199.0	192.7
Total Debts	7.0	5.0	0.0
Current Liabilities	123.5	102.3	75.2
Non-Current Liabilities	21.5	22.5	23.5
Total Liabilities	144.9	124.8	98.7
Capital	10.0	10.0	50.0
Shareholders’ Equity	63.5	73.9	93.6