Riyadh - Mubasher: The annual financial results of the National Agricultural Development Company ( NADEC ) revealed that it achieved a 156.45% jump in net profit during the year ending on December 31, 2024.

The company explained in a statement today, Monday, on "Tadawul", that the net profit after zakat and tax amounted to about 774.63 million riyals, compared to 302.06 million riyals in 2023.

The company said that the increase in profit is due to several factors, including the profit from the company’s shares in the Arab Mills for Food Products Company (Arab Mills) as part of the process of offering and listing 30% of the shares of the Arab Mills for Food Products Company on the main financial market in the Kingdom of Saudi Arabia, as Nadak and all partners in the Arab Mills agreed to sell 30% of the shares they own in the Arab Mills.

The company indicated that realized profits of 103.19 million riyals were recognized as a result of selling 30% of the investment owned in the Arab Mills, and unrealized gains were also recorded at fair value of 253.32 million riyals.

The company's sales increased by about 0.73%, to 3.22 billion riyals, compared to 3.2 billion riyals in 2023.

The company's revenues for the current year increased by 0.73% compared to last year, mainly due to sales of the new protein sector worth 180.29 million riyals. This increase was partially offset by a decrease in sales of the dairy and juice sector by 3.59% and sales of the agricultural sector by 28.50%.

Selling and marketing expenses also decreased during the current year compared to last year by 4.96%, mainly due to lower spending on maintenance, repair and brand marketing expenses.

During the previous year, the company recognized impairment losses on trade receivables against other doubtful accounts receivable amounting to SAR 40.50 million. There are no similar impairment losses in the current year.

Financing costs also decreased by 54.96% during the current year compared to last year due to the decrease in the average outstanding loan balance.