| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | SISCO Board of Directors is pleased to announce the results of the Extraordinary General Assembly meeting (Second Meeting) |
| City and Location of the General Assembly's Meeting | Head Office – Jeddah - through modern technology methods |
| Date of the General Assembly's Meeting | 2022-11-10 Corresponding to 1444-04-16 |
| Time of the General Assembly's Meeting | 19:30 |
| Percentage of Attending Shareholders | 27.41% |
| Names of the Board of Directors' Members Present at the General Assembly's Meeting and Names of the Absentees | 1- AAMER ABDULLAH ALIREZA (Chairman)
2- ADNAN ABDULFATTAH SOUFI (Vice Chairman) 3- SALEH AHMAD HEFNI (Board Member) 4- MUNEERAH HEJAB ALDOSSARY (Board Member) 5- TALAL NASSER ALDAKHIL (Board Member) 6- AHMED MOHAMMED ALRABIAH (Board Member) 7- ABDULAZIZ ABDULATIF JAZZAR (Board Member) |
| Names of the Chairmen of the Committees Present at the General Assembly's Meeting or Members of such Committees Attending on Their Behalf | 1- Dr. Adnan Abdulfattah Soufi (Chairman of the Investment Committee -Chairman of the Risk and Sustainability Committee)
2- Dr. Adbulaziz Abdulatif Jazar (Chairman of the Nomination and Remuneration Committee & on behalf of the Audit Committee Chairman) |
| Voting Results on the Items of the General Assembly's Meeting Agenda's | Agenda Item 1: Approval on the company’s purchase of number of its shares and a maximum of (8,160,000) shares and keep them as treasury shares, as the Board of Directors or the authorized persons consider that the share price in the market is less than its fair value. The purchase will be financed from the company’s own resources and authorizing the Board of Directors to complete the process within 12 months of the extraordinary general assembly’s approval date, and the company will keep the purchased shares for a maximum period of (5) years from the date of approval of the extraordinary general assembly. After the expiry of this period, the company will follow the procedures and controls stipulated in the relevant laws and regulations. |
| Additional Information | In the event of an inquiry, please contact the Shareholders Relations Department through
Phone number: 012 6619 500 Email: IR@sisco.com.sa |
| ELEMENT LIST | CURRENT QUARTER | SIMILAR QUARTER FOR PREVIOUS YEAR | %CHANGE | PREVIOUS QUARTER | % CHANGE |
|---|---|---|---|---|---|
| Sales/Revenue | 261 | 223.3 | 16.88 | 243.4 | 7.23 |
| Gross Profit (Loss) | 105.8 | 97 | 9.07 | 99.7 | 6.12 |
| Operational Profit (Loss) | 60.4 | 54.1 | 11.64 | 52.7 | 14.61 |
| Net Profit (Loss) after Zakat and Tax | 14.4 | 3.9 | 269.23 | 3.1 | 364.52 |
| Total Comprehensive Income | 13.8 | 3.8 | 263.16 | 4.5 | 206.67 |
| All figures are in (Millions) Saudi Arabia, Riyals | |||||
| ELEMENT LIST | CURRENT PERIOD | SIMILAR PERIOD FOR PREVIOUS YEAR | %CHANGE |
|---|---|---|---|
| Sales/Revenue | 717 | 733.7 | -2.28 |
| Gross Profit (Loss) | 295.7 | 355.5 | -16.82 |
| Operational Profit (Loss) | 159.6 | 232.4 | -31.32 |
| Net Profit (Loss) after Zakat and Tax | 18.3 | 58.7 | -68.82 |
| Total Comprehensive Income | 19.8 | 60.9 | -67.49 |
| Total Share Holders Equity (after Deducting Minority Equity) | 1,440.6 | 1,518 | -5.1 |
| Profit (Loss) per Share | 0.22 | 0.72 | |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| ELEMENT LIST | EXPLANATION |
|---|---|
| The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is | The increase in net profit during the current quarter compared to the same quarter of the previous year is due to the following reasons:
- Improvement in gross profit for the period to SAR 105.8 million from SAR 97.0 million in the same quarter last year, due to better performance of the Water and Logistics segments as a result of improved sales mix and lower cost of sales - Q3 2022 income from associate companies improved by 7.9% compared to Q3 2021, reaching SAR 8.2 million |
| The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter of the current year is | The increase in net profit for the current quarter as compared to the previous quarter is due to the following reasons:
- Q3 2022 net income increased 364.5% compared to Q2 2022 to reach SAR 14.4 million due to improved margins and net income from Ports, Logistics, and Water business segments compared to the previous quarter |
| The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is | - Reported net income for the nine-months 2022 was SAR 18.3 million compared to SAR 58.7 million for the same period last year. The drop was mainly attributed to the decline in Ports segment revenues during the first half of 2022 in addition to the decline in Water segment revenues during the first quarter of 2022 due to an unplanned plant shutdown, which was resolved.
- Increase in income from associates by 18.3% compared to 9M 2021 |
| Statement of the type of external auditor's report | Unmodified conclusion |
| Reclassification of Comparison Items | Financial statements for the current period have been prepared according to the International Financial Reporting Standards (IFRS) that are endorsed in the Kingdom of Saudi Arabia and based on that the presentation, measurement, recognition, and disclosure for some of the financial data has been changed to comply with IFRS accounting policies as adopted in the Kingdom. |
| Additional Information | In accordance with IFRIC 12 (IFRS Interpretations Committee) 12, the reported revenue includes construction revenue of SAR [46.3] million. There is no impact on gross profit or net profit as there is a corresponding construction cost of SAR [46.3] million recognized in the cost of revenue.
Outlook and strategy:
SISCO remains committed to the delivery of its five-year strategy to drive long-term value creation, aiming to double revenues to SAR 2 billion by 2026. SISCO’s investment approach focuses on value-accretive investments that are in line with its strategic focus areas of ports, logistics, and water. SISCO will announce updates to the market as other opportunities materialize.
In a post reporting period event dated 1 November 2022, SISCO’s subsidiary, LogiPoint announced acquiring a loan facility of SAR 290 million to finance the expansion of its warehousing capacity. The expansion, which doubles the existing 73,000 square meters capacity, is in line with the group’s 5-year strategy to make LogiPoint as the leading logistics real estate developer and operator of state-of-the-art warehousing services and premium logistics facilities across the Kingdom, serving the rapidly growing e-commerce sector.
Further potential growth areas are also expected to be developed including a state-of-the-art logistics park in Khumra which should boost logistics revenues and margins from 2023 and beyond. |
| Attached Documents |  |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | Saudi Industrial Services Company (“SISCO”) announces that its subsidiary Saudi Trade & Export Development Company (“LogiPoint”) has secured a loan facility with National Bank of Kuwait (“NBK”).
The total value of the facility is SAR 290 million, of which the loan facility is SAR 280 million and the guarantees facility is SAR 10 million. The facility is priced at 3 months SAIBOR + margin p.a., to be repaid by LogiPoint in quarterly instalments. The purpose of the facility is to finance the expansion plans doubling the warehousing capacity from current 73,000 square meters and development of infrastructure works of the new logistics park in Al-Khomra. |
| Date of obtaining the funding | 2022-11-01 Corresponding to 1444-04-07 |
| Financing entity | National Bank of Kuwait |
| Financing amount. | SAR 290 million |
| Financing duration. | 8.5 years |
| Guarantees offered for the financing | Promissory notes of the value of SAR 290 million; Acknowledged assignment of receivables; Contractors and Fire Insurance assignment; Assignment of contractors Letter of Guarantee; debt service reserve account, and other guarantees/comfort letters as requested by the bank. |
| Financing objective | To expand the warehousing capacity and infrastructure works for new logistics park |
| Related Parties | There are no related parties. |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | The Saudi Industrial Services Company (SISCO) announces the resignation of Eng. Mohammed Al Mudarres from his position as CEO, due to his desire to move to his own business. Eng. Mohammed Al Mudarres will continue to serve as a consultant on some of SISCO subsidiaries and associate companies, and a special advisor to the company's Board of Directors. The Board of Directors approved the resignation and future assignment by circulation on October 17, 2022.
The Board of Directors express their thanks and gratitude to Eng. Mohammed Al Mudarres for his efforts and effective contribution during his tenure as CEO for the last 15 years and wishes him continued success and prosperity. The Board also approved the appointment of Eng. Khalid Suleimani as Chief Executive Officer as of November 01, 2022. |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Name of the Resigned CEO | Eng. Mohammed K. Al-Mudarres |
| Resignation Acceptance Date | 2022-10-17 Corresponding to 1444-03-21 |
| Resignation Effective Date | 2022-10-31 Corresponding to 1444-04-06 |
| Reasons for Resignation | Due to his desire to move to his own business. |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Appointment Type | Appointment |
| Name of the CEO | Eng. Khalid Suleimani |
| Date of Board Resolution | 2022-10-17 Corresponding to 1444-03-21 |
| Date Work Commencement | 2022-11-01 Corresponding to 1444-04-07 |
| Brief Resume | Eng. Khalid Suleimani holds a master’s degree in electrical and computer engineering from the University of Colorado (USA) and the General Securities Qualification Certificate (CME-1) from the Capital Market Authority and is a licensed consultant by the Saudi Council of Engineers, and a licensed professional consultant in information technology from the Ministry of Commerce. Eng. Khalid has over 25 years of experience in the investment field. |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | The Board of Directors of Saudi Industrial Services Co. (“Company”) is pleased to invite the valued shareholders to participate and vote in the Extraordinary General Assembly meeting (the first meeting ) scheduled to be held through modern technology methods. |
| City and Location of the General Assembly's Meeting | Company`s Headquarter Jeddah - via modern technology |
| URL for the Meeting Location | www.tadawulaty.com.sa |
| Date of the General Assembly's Meeting | 2022-11-10 Corresponding to 1444-04-16 |
| Time of the General Assembly's Meeting | 18:30 |
| Attendance Eligibility | Shareholders Registered in the Issuer’s Shareholders Registry in the Depository Centre At the End of the Trading Session Preceding the General Assembly’s Meeting as per Laws and Regulations |
| Quorum for Convening the General Assembly's Meeting | The extraordinary general assembly meeting shall be valid attended by shareholders representing at least 50% of the Company’s capital. In the absence of a quorum required for holding the meeting, a second meeting will be held one hour after the end of the end of period specified for the first meeting, and the second meeting will be valid if attended by a number of shareholders representing at least 25% of the Company. |
| General Assembly Meeting Agenda | Agenda Item 1. Voting on the company’s purchase of number of its shares and a maximum of (8,160,000) shares and keep them as treasury shares, as the Board of Directors or the authorized persons consider that the share price in the market is less than its fair value. The purchase will be financed from the company’s own resources and authorizing the Board of Directors to complete the process within 12 months of the extraordinary general assembly’s approval date, and the company will keep the purchased shares for a maximum period of (5) years from the date of approval of the extraordinary general assembly. After the expiry of this period, the company will follow the procedures and controls stipulated in the relevant laws and regulations. |
| Proxy Form | |
| E-Vote | Shareholders registered in Tadawulaty services can vote remotely on the items of the assembly, starting from 01:00 am on Sunday 12 Rabi Al Thani 1444, corresponding 6th of November 2022 until the end of the assembly time. Registration and voting in Tadawulati services will be available and free for all shareholders Using the following link: www.tadawulaty.com.sa |
| Eligibility for Attendance Registration and Voting | Eligibility for Registering the Attendance of the General Assembly’s Meeting Ends upon the Convenience of the General Assembly’s Meeting. Eligibility for Voting on the Business of the Meeting Agenda Ends upon the Counting Committee Concludes Counting the Votes |
| Method of Communication | In the event of an inquiry, we hope to contact the Shareholders Relations Department through
Phone number: 0126619500 Email: IR@sisco.com.sa |
| Attached Documents | |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | With reference to the announcement of Saudi Industrial Services Company in Tadawul website on 23/01/1444H corresponding to 21/08/2022G regarding a warding the project of management, operation and maintaining water and environmental treatment services in the northern sector for the Kingdom of Saudi Arabia by the National Water Company.
The Company announces the Contract Sign Off between the National Water Company. and a consortium in which one of the affiliate companies participates, “International Water Distribution Company Limited” (Tawzea), Saudi Industrial Services Company owns 50% of the capital, and the objective of the project is to manage, operate and maintain water and environmental treatment services in the northern sector for the Kingdom of Saudi Arabia by the National Water Company. The consortium consists of three companies (Aqualia Spain Co., Tawzea Co. And Alhaj Abdullah Ali Riza Co. “HAACO”). |
| Date of Announcement of the Award | 2022-08-21 Corresponding to 1444-01-23 |
| Contract Subject Matter | Management contract for the northern sector in the National Water Company |
| Date of Signing the Contract | 2022-09-14 Corresponding to 1444-02-18 |
| Contract Value | SAR 400,162,000 (Including VAT) |
| Contract Details | A contract of management, operation and maintenance, through which the consortium Company will manage the operation and maintenance of water and environmental treatment services in the northern sector by raising operational efficiency, technical knowledge, quality and availability of services and maintenance requirements in the sector. The sector serves 4 regions in the north of the Kingdom of Saudi Arabia, and Tawzea owns 39% of the project’s company to implement the contract. |
| Contract Duration | 7 years |
| Financial Impact and the Relevant Period | The financial impact of the project is expected to be reflected in the first quarter of 2023 |
| Related Parties | There are no related parties |
| Additional Information | The company will announce any future developments in this regard at the time. |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | Saudi Industrial Services Co. (“SISCO”) announces the Board of Directors' resolution to recommend to the Extraordinary General Assembly to approve the purchase of up to 10% of the Company's ordinary shares, and to hold them as Treasury Shares. |
| Board Approval's Date | 2022-08-20 Corresponding to 1444-01-22 |
| Purpose of Purchase | For the purchased shares to be held as Treasury Shares. |
| Purpose of Purchase (If the Purpose to Keep the Shares as Treasury Shares) | If the Board of Directors or its authorized representative finds that the share price in the market is less than its fair value |
| Number of Shares to be Bought | 8160000 |
| Shares Class | Ordinary Shares. |
| Method of Financing the Purchasing Process | The Company’s available internal cash resources. |
| Current Percentage of the Treasury Shares at the Company out of the Total Class of Shares Purchased | The Company currently holds no Treasury Shares. |
| Approvals and Meeting the Conditions of Financial Appropriateness | Voting on the Board of Directors resolution will take place during an Extraordinary General Assembly meeting, which will be announced at a later date as per the Regulatory Rules and Procedures issued pursuant to the Saudi Companies Law relating to Listed Joint Stock Companies (article no. 12/4).
The Company must obtain approval from the Extraordinary General Assembly for the purchase to commence. The Company will also submit a solvency report formulated by an Auditor, as per the Saudi Companies Law relating to Listed Joint Stock Companies (article no. 12/3). The Company is committed to fulfilling all requirements mentioned in the Regulatory Rules and Procedures issued pursuant to the Saudi Companies Law relating to Listed Joint Stock Companies. |
| Voting Right | The purchased shares will not have voting rights in the General Assembly’s Meetings. |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | SISCO Company announces the awarding of a project to a consortium in which one of the affiliate companies participates, the International Water Distribution Company Limited (Tawzea), SISCO Company owns 50% of the capital, and the objective of the project is to manage, operate and maintain water and environmental treatment services in the northern sector for the Kingdom of Saudi Arabia by the National Water Company.
The consortium consists of three companies (Aqualia Spain Co., Tawzea Co. And Alhaj Abdullah Ali Riza Co. “HAACO”). |
| Date of Award | 2022-08-18 Corresponding to 1444-01-20 |
| Project Value | SAR 400,162,000 |
| Project Details | A management contract for operation and maintenance, through which the consortium Company will manage the operation and maintenance of water and environmental treatment services in the northern sector by raising operational efficiency, technical knowledge, quality and availability of services and maintenance requirements in the sector. The sector serves 4 regions in the north of the Kingdom of Saudi Arabia, and Tawzea owns 39% of the project company to implement the contract. |
| Related Parties | There are no related parties |
| Additional Information | Duration of the contract: 7 years
The company will announce when the contract is signed, the financial impact and any future developments in this regard at the time. |
| ELEMENT LIST | CURRENT QUARTER | SIMILAR QUARTER FOR PREVIOUS YEAR | %CHANGE | PREVIOUS QUARTER | % CHANGE |
|---|---|---|---|---|---|
| Sales/Revenue | 243.4 | 252.1 | -3.45 | 212.6 | 14.49 |
| Gross Profit (Loss) | 99.7 | 123.6 | -19.34 | 90.2 | 10.53 |
| Operational Profit (Loss) | 52.7 | 83.6 | -36.96 | 46.4 | 13.58 |
| Net Profit (Loss) after Zakat and Tax | 3.1 | 22.5 | -86.22 | 0.8 | 287.5 |
| Total Comprehensive Income | 4.5 | 25.2 | -82.14 | 1.6 | 181.25 |
| All figures are in (Millions) Saudi Arabia, Riyals | |||||
| ELEMENT LIST | CURRENT PERIOD | SIMILAR PERIOD FOR PREVIOUS YEAR | %CHANGE |
|---|---|---|---|
| Sales/Revenue | 456 | 510.4 | -10.66 |
| Gross Profit (Loss) | 189.9 | 258.4 | -26.51 |
| Operational Profit (Loss) | 99.2 | 178.3 | -44.36 |
| Net Profit (Loss) after Zakat and Tax | 3.9 | 54.7 | -92.87 |
| Total Comprehensive Income | 6 | 57.1 | -89.49 |
| Total Share Holders Equity (after Deducting Minority Equity) | 1,459 | 1,166 | 25.13 |
| Profit (Loss) per Share | 0.05 | 0.67 | |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| ELEMENT LIST | EXPLANATION |
|---|---|
| The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is | The decrease in net profit during the current quarter compared to the same quarter of the previous year is due to the following reasons:
- Continuing impact of global supply chain disruptions, affecting gateway and transshipment volumes in the Ports segment. - Consequently, gross profit for the period declined to SAR 99.7 million in Q2 2022, from SAR 123.6 million in the same quarter last year, market challenges in the global port and logistics sectors impacted margins during the quarter. - Despite improvement in the results from associate companies, reported net income for the quarter was SAR 3.1 million compared to SAR 22.5 million for the same quarter last year due to lower revenues. |
| The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter of the current year is | The increase in net profit for the current quarter as compared to the previous quarter is due to the following reasons:
- The current quarter (Q2 2022) witnessed recovery of gateway and transshipment volumes in the Ports segment. On the other hand, Water solutions’ segment performance saw a strong recovery compared to the previous quarter (Q1 2022) where the Company reported a decline in revenue and gross profit due to a decrease in the production at the Kindasa plant which impacted revenues and profitability. - Improvement in the results from associate companies. |
| The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is | Reported net income for the period was SAR 3.9 million compared to SAR 54.7 million for the same period last year, due to a decline in ports revenues and gross margins as a result of continued pressure on gateway volumes coupled with a decline in water segment revenues and gross margins during the first quarter. |
| Statement of the type of external auditor's report | Unmodified conclusion |
| Reclassification of Comparison Items | Financial statements for the current period have been prepared according to the International Financial Reporting Standards (IFRS) that are endorsed in the Kingdom of Saudi Arabia and based on that the presentation, measurement, recognition and disclosure for some of the financial data has been changed to comply with IFRS accounting policies as adopted in the Kingdom. |
| Additional Information | In accordance with IFRIC 12 (IFRS Interpretations Committee) 12, reported revenue includes construction revenue of SAR 30.3 million. There is no impact on gross profit or net profit as there is a corresponding construction cost of SAR 30.3 million recognized in the cost of revenue.
Outlook and strategy:
SISCO remains committed to the delivery of its five-year strategy to drive long-term value creation, aiming to double revenues to SAR 2 billion by 2025. SISCO’s investment approach focuses on value accretive investments that are in line with its strategic focus areas of ports, logistics and water. SISCO will announce updates to the market as other opportunities materialize.
Management believes that improved gateway and transshipment volumes are showing promising signs of recovery, which will be supportive to the local gateway market, benefitting from the expected increase in shipping line capacity. |
| Attached Documents | |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Introduction | Saudi Industrial Services Company “SISCO” the “Company” is pleased to announce the Board of Directors’ resolution to distribute interim cash dividend to the company’s shareholders for the financial year 2022 as follows: |
| Date of the board’s decision | 2022-08-10 Corresponding to 1444-01-12 |
| The Total amount distributed | 32,640,000 |
| Number of Shares Eligible for Dividends | 81,600,000 |
| Dividend per share | 0.4 SAR |
| Percentage of Dividend to the Share Par Value (%) | 4 % |
| Eligibility date | The eligibility date is 23rd Muharram 1444H corresponding to 21st August 2022. The eligibility of dividends distribution will be for the shareholders of the company who own shares on the eligibility date and are registered in the company’s share registry at the Securities Depository Center Company at the end of the second trading day following the eligibility date |
| Distribution Date | The dividend distribution date will be on 12th Safar 1444H corresponding to 8th September 2022. |
| Additional Information | The proposed recommended dividend is the interim ordinary dividend for fiscal year ended 31 December 2022 in accordance with the approved dividend policy for the fiscal years 2022 and 2023. |
| ELEMENT LIST | CURRENT QUARTER | SIMILAR QUARTER FOR PREVIOUS YEAR | %CHANGE | PREVIOUS QUARTER | % CHANGE |
|---|---|---|---|---|---|
| Sales/Revenue | 212.6 | 258.2 | -17.66 | 251.7 | -15.534 |
| Gross Profit (Loss) | 90.2 | 134.9 | -33.135 | 91 | -0.879 |
| Operational Profit (Loss) | 46.4 | 94.8 | -51.054 | 45.9 | 1.089 |
| Net Profit (Loss) after Zakat and Tax | 0.8 | 32.3 | -97.523 | -0.9 | - |
| Total Comprehensive Income | 1.6 | 32 | -95 | 0.6 | 166.666 |
| All figures are in (Millions) Saudi Arabia, Riyals | |||||
| ELEMENT LIST | CURRENT PERIOD | SIMILAR PERIOD FOR PREVIOUS YEAR | %CHANGE |
|---|---|---|---|
| Total Share Holders Equity (after Deducting Minority Equity) | 1.455 | 1.486 | -2.086 |
| Profit (Loss) per Share | 0.01 | 0.4 | |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| ELEMENT LIST | EXPLANATION |
|---|---|
| The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is | The decrease in net profit during the current quarter compared to the same quarter of previous year is due to the following:
- Results for the quarter were impacted by ongoing global supply chain disruptions, which were compounded by the resumption of pandemic restrictions in China, affecting gateway and transshipment volumes in the Ports segment.
- Revenues and profitability in the water segment were impacted during the period due to a decrease in the production of the desalination plant of the Kindasa facility for two consecutive months during the quarter which resulted in a loss incurred by the subsidiary.
All issues related to this decline have been resolved.
- Consequently, gross profit for the period declined to SAR 90.2 million in Q1 2022, from SAR 134.9 million in the same period last year, as headwinds in the global ports and logistics sectors impacted margins during the quarter.
- Reported net income for the quarter was SAR 0.8 million compared to SAR 32.3 million for the same period last year, as a result of a decline in gross profit during the period due to a decrease in the production at the Kindasa plant which impacted revenues and profitability, and a reduction in SISCO’s share of Red Sea Gateway Terminal’s (“RSGT”) net income from 60.6% to 36.36% during the period, following the divestment of its direct equity stake. |
| The reason of the increase (decrease) in the net profit during the current quarter compared to the previous period of the current year is | The increase in net profit for the current quarter as compared to the previous quarter is due to the following:
- In the previous quarter (Q4 2021) the Company reported a net loss of SAR 0.9 million mainly due to the decline in margins as a result of lower gateway volumes in the Ports segment, and a number of one-off items amounting to a net adjustment of SAR 6.5 million. |
| Statement of the type of external auditor's report | Unmodified conclusion |
| Reclassification of Comparison Items | Financial statements for the current period have been prepared according to the International Financial Reporting Standards (IFRS) that are endorsed in the Kingdom of Saudi Arabia and based on that the presentation, measurement, recognition and disclosure for some of the financial data has been changed to comply with IFRS accounting policies as adopted in the Kingdom. |
| Additional Information | In accordance with IFRIC 12 (IFRS Interpretations Committee) 12, reported revenue includes construction revenue of SAR 16.4 million. There is no impact on gross profit or net profit as there is a corresponding construction cost of SAR 16.4 million recognized in the cost of revenue.
In March 2022, SISCO completed the acquisition of a 31.7% direct equity stake in Green Dome Investments LLC (“Green Dome”) from its subsidiary Saudi Trade & Export Development Company (“LogiPoint”). The acquisition reinforces SISCO’s strategy of expanding its presence in logistics services and maintaining its position as a leading player with a presence across the logistics value chain.
Outlook and strategy:
SISCO continues to make strong progress with the delivery of its five-year strategy to drive long-term value creation and double revenues to SAR 2 billion by 2025. The partial divestment of the Group’s direct equity stake in RSGT in 2021 unlocked significant value and capital for the Company to deploy on value accretive investments that are in line with its strategic focus areas of ports, logistics and water. SISCO has a strong pipeline of potential acquisition opportunities that it is actively pursuing and will be providing material updates to the market in due course. |
| Attached Documents | |
| ELEMENT LIST | EXPLANATION |
|---|---|
| Announcement Detail | Dividend Policy Announcement
Saudi Industrial Services Company (“SISCO” or the “Company”) announces that the Board of Directors has approved the Company’s dividend policy for the years 2022 and 2023. Dividend Policy The Board recognises the distribution of a progressive and sustainable dividend as one of its key management objectives, underpinned by SISCO’s strong track record of delivering a consistent dividend over the last five years. As such, the Board believes that it is important to have a policy that enables an appropriate balance between reinvestment for growth and distributions to shareholders, while offering the flexibility to implement the recently announced updated five-year strategy that aims to deliver long-term shareholder value through leveraging the significant opportunities in SISCO’s core sectors of ports, logistics and water. The Company has a strong pipeline of value accretive investment opportunities in its core sectors that will enable SISCO to build on its proven track record as partner of choice to develop key infrastructure projects and contribute significantly to the Kingdom’s Vison 2030. As a result, the Board has decided on a new dividend policy whereby the Company shall endeavour to pay a total annual dividend in the order of SAR 0.80 per share for each of the financial years 2022 and 2023. This policy will result in a semi-annual dividend of SAR 0.40 per share for these years. The dividend policy will be reviewed annually in the context of the Company’s investment requirements and may be subject to change based on any market changes, fundamental changes in the Company's strategy, cash flows and any new investment opportunity or financial obligations that may arise at a future date. -Ends- |