Q4 profits of TASI firms ex-Aramco up at SAR 44.01B

The Q4 2024 financial results included one-time net gains of SAR 16.5 billion, consisting of SAR 11.6 billion from the distribution of Almarai ownership to Savola shareholders and SAR 1.2 billion in additional provisions related to Clariant, a subsidiary of SABIC. Moreover, SAR 12.9 billion gains included from the sale of the telecommunications tower company owned by stc. The results also included SAR 5.69 billion in losses from recording non-recurring expenses related to the final settlement of Saudi Electricity Co. Excluding these exceptional items, the aggregate net profits of listed companies (excluding Aramco) grew by 11%, reaching SAR 27.51 billion. However, total market profits declined by 11%.

On results, 23 firms turned to profit, 89 companies posted higher earnings while 54 others reported declines.

Meanwhile, 55 companies recorded losses, of which 24 swung to losses compared to Q4 2023.

Sector-wise, the energy sector contributed the largest portion of aggregate net profit in Q4 2024, with more than 66.4% after its profit fell by about 5% YoY to reach SAR 86.79 billion. The fall was due to the decline in Saudi Aramco's Q4 profit by 16% YoY, in addition to the losses recorded by Petro Rabigh.

The banking sector took the second position, with 16% of the market’s aggregate profit. The sector's profit rose 21% YoY to SAR 20.94 billion, amid collective growth in bank profits, driven by the rise in net special commission income.

The telecommunications sector ranked third, accounting for 11.3% of Tadawul's aggregate profit, with about SAR 14.77 billion profit, up nearly fivefold YoY backed by the rise in profit of stc, whose earnings included SAE 12.89 billion profit from the sale of TAWAL.

The food sector came fourth, with a 115% YoY surge in profits to about SAR 10.47 billion as Savola’s earnings included profits of SAR 11.55 billion from the distribution of Almarai’s ownership to the company’s shareholders.

The public utilities recorded losses of SAR 7.13 billion on SEC’s higher losses.

The materials sector incurred losses of SAR 1.01 billion, due to SABIC’s losses that amounted to about SAR 1.89 billion.

**Q4 2024 results included exceptional gains of SAR 12.9 billion from the sale of the Telecommunication Towers Co., a subsidiary of stc.

***Q4 2024 results included profits of SAR 11.6 billion from the distribution of ownership in Almarai to Savola shareholders, in addition to provisions for Savola from divestment in subsidiaries in Iran and Sudan amounting to SAR 1.4 billion.

****Q4 2024 results included an additional provision of SAR 1.2 billion related to Clariant, a subsidiary of SABIC.

****Q4 2024 results included non-recurring expenses related to the final settlement approval for Saudi Electricity Co.

Net profits of the top 10 profitable companies accounted for approximately 99% of the total market profits in Q4 2024. Nine companies recorded an increase in profits compared to the same quarter of the previous year, most notably stc and Savola, as shown in the following table:

The aggregate profit for 2024 dropped by 3% to SAR 555.32 billion, compared to SAR 575.35 billion in the similar period a year ago.

Excluding Aramco’s profit, the market's aggregate profit increased 32% to SAR 161.43 billion, compared to SAR 122.60 billion in 2023.