MIS may see 15-20% growth in topline, net profit in 2025: Vice Chairman

Ibrahim Al Moammar, Vice Chairman of Al Moammar Information Systems Co. (MIS)

Al Moammar Information Systems Co. (MIS) is forecast to witness growth ranging between 15-20% in its business, both in terms of revenue and net profit, during 2025, said Vice Chairman Ibrahim Al Moammar.

These projections are based on current conditions and market activity, in addition to the initiatives led by the Kingdom in technology and artificial intelligence, infrastructure and data centers, he added, in an interview with Argaam.

The company plays an active role among tech service providers, especially in the field of data centers, said the top official. He expressed hope that the company would secure a share of the available opportunities amid the growth taking place across all sectors in the Kingdom, including the digital technology sector, as it is looking to leverage this momentum to achieve further growth.

He pointed out that since the beginning of this year, the company has secured contracts worth between SAR 1.2-1.3 billion, compared to about SAR 800 million during the same period last year, which reflects positive results, with a growth of over 50% in signed contracts this year.

The total value of MIS projects backlog is about SAR 4.2 billion. In addition, the value of signed data center leasing contracts exceeds SAR 2.5 billion, with framework agreements exceeding SAR 1.5 billion.

The company is awaiting the issuance of work orders for these contracts, some of which have already begun implementation. This brings the total value of projects under execution to about SAR 7 -7.5 billion, which is the highest in the company’s history, said the Vice Chairman.

MIS posted its highest-ever quarterly gross profit of around SAR 82 million in Q1 2025, thanks to the contracts secured in previous periods. Meanwhile, the decline in net profit quarter-on-quarter was due to non-recurring factors, according to Al-Moammar.

He also clarified that there were three main reasons for the drop in Q1 net profit QoQ, including an investment gain of about SAR 58 million from the sale of 10% of the company’s stake in Edarat during Q1 2024.

The first quarter also saw increased losses related to subsidiaries due to additional expenses and provisions, driven by the growth of their businesses, especially MISPay. This is in addition to the development of the company’s tech, financial, and accounting infrastructure, as well as the other provisions related to employee expenses, bonuses, and community initiatives the company is committed to, such as its participation in the Ihsan platform, he added.

As for MISPay, the company is exploring ways to support its growth through funding rounds and off-balance sheet financing options to reduce burdens and costs on the parent company, said the Vice Chairman, adding that no decision has been made yet in this regard.

Al-Moaammar also highlighted that, while these factors impacted the results, they are non-recurring. He expects the company will post strong performance in 2025.