KnowledgeNet CEO expects revenue, profit to rise over 50% this year

Mohammad Attiya CEO of KnowledgeNet Co.

Mohammad Attiya, CEO of KnowledgeNet Co. (KN), which will list soon on Nomu-Parallel Market, said the software market is valued at more than $10 billion in the MENA region.

Over 70% of software in Saudi Arabia and regional markets is imported, though KN and other local firms are efficiently able to develop software programs in line with the sector’s localization plan, Attiya told Argaam in a phone call.

The company provides services for more than 12 banks, including the Saudi Central Bank (SAMA) along with other investment and fintech firms in Saudi Arabia and the region. KN owns 7.5-10% stakes in five startup fintechs.

KN develops software programs and designs user interface for fintech firms, Attiya added, noting that the company owns 7.5% of the fintech platform, Daftar Pay, which offers customers short-term financing solutions with an option to pay later for various retail and ration products.

The software house also has interest in a company licensed by the Capital Market Authority (CMA) as a platform for trading the units of unlisted funds.

“We held meetings with more than 150 regional fintechs and agreed to cooperate and invest with five only. Passion alone is not enough to turn ideas into reality, as we are looking for products and services that meet customer needs in all markets,” the CEO added.

He expected KN’s revenue to grow by over 50% in 2023, citing that the last two years’ development in marketing and human cadres will maximize the company’s profitability in the years to come.

KN’s revenue exceeded SAR 30.3 million in the first half of 2022, compared to nearly SAR 20.9 million in the year-earlier period. The company also made a net profit of almost SAR 4.3 million in in the first half of 2022.

KN has operated in the software field for 20 years. In the next phase, profit growth is likely to double as the company works on developing a number of new products and services, for which it owns their intellectual property (IP) rights.

Attiya concluded that KN’s listing on Nomu will help it raise the necessary finance to expand operations and fund ambitious projects going forward.