SACO's market share growing , profits lifted by turnaround plan: CEO

Abdel-Salam Bdeir CEO SACO 

Saudi Company for Hardware's (SACO) CEO Abdel-Salam Bdeir said that the company continued to generate profit during the first quarter of 2025, after turning to profitability in Q4 2024, indicating that the main factor in this transformation is due to the commitment to implement the strategic turnaround plan announced in March 2023.

This plan helped boost sales and total income by providing more than 20,000 new high-quality items at competitive prices, he added, in an interview with Argaam.

The company's revenue growth rate is higher than that of the retail market in the Kingdom with the same number of branches, which proves that SACO's market share is increasing despite not opening new branches, in addition to the expansion of some new sections and items that were not previously present in the company, he further stated.

The company added new sections such as interior furnishings, TVs, air conditioners, refrigerators, washing machines, stationery, toys, and suitcases, according to the CEO.

He highlighted that SACO successfully slashed the cost of sales by signing new contracts with suppliers, which helped reduce prices for consumers and increase the profit margin, in addition to the continuous improvement in logistics results and the reduction of general and administrative expenses.
 

Additionally, all the company's main sections recorded a remarkable growth of more than 10% in revenues, in addition to the revenues of new divisions, including electrical appliances, monitors, air conditioners, and indoor home furniture that saw strong demand from customers, Bdeir said.
 

As for seasonal sales, he clarified that sales rose year-on-year, backed by huge promotional and marketing campaigns, which led to a jump in the company's customer base by more than 15%.
 

Regarding e-commerce, the top executive pointed out that the company focused on upgrading the website and application and speeding up delivery within 24 hours in major cities. He added that e-commerce sales soared by nearly 90% during the first quarter of 2025, representing more than 8% of the total sales, compared to 2% of sales of the first quarter of 2024.
 

The company continues to expand by rolling out new sections and items for customers and continues to develop e-commerce and provide the best services to customers as a priority. It has expanded its delivery service to more than 3,500 cities and villages in the Kingdom, while taking into account any promising investment opportunities for new branches and continues to renovate some branches to improve the customer shopping experience, Bdeir said.

"We are on the right track and in line with the turnaround plan that includes all the elements necessary to achieve sustainable development in the company's performance," said the CEO, noting that the current quarter's results will be announced in due course.

He added that the company is currently committed to continuing to offer more new products and varieties from around the world, suitable in terms of diversity, quality and at competitive prices, while continuing to develop the website and application, and improving delivery and installation services.