SISCO’s CEO says 40% rise in handling capacity boosted Q3 2020 profit

The increase in container handling capacity of Saudi Industrial Services Co. (SISCO) contributed to the rise in revenues and profits of the ports and terminal segment, one of its largest business segments, CEO Mohammed Al-Mudarres told Argaam.

He noted that the increase in Q3 2020 profits was driven by the growth in handling capacity in the second and third quarters, respectively, following the acquisition of the northern terminal of the Jeddah Islamic Port and the merging of the works related to the northern terminal and the Red Sea Gateway terminal under the new support services contract signed in 2019-end. The operational work commenced in Q2 2020.

The handling capacity volume witnessed a hike of 35-40%, compared to last year and Q1 2020.

SISCO is evaluating a group of projects outside Saudi Arabia, which will constitute a quantum leap for its overseas business, Mudarres said, indicating an announcement will be made at the appropriate time.

During the current period, the company did not notice any defect in the economic system for the maritime shipping movement, as it monitors all the influences and deals with them seriously.

He affirmed that SISCO communicates with its international clients to reduce any impact or retreat in the volume of maritime handling and business, following up the matter continuously to assess and handle it.

According to data compiled by Argaam, SISCO reported a net profit of SAR 28.1 million for Q3 2020, over a four-fold increase, compared to the same quarter last year.