Keir International Reports SAR 45.80M Net Loss in 2025
KEIR 9542.SA | 0.00 |
On 2026-05-06 09:28:51 (Saudi Time), Keir International Company announced its annual financial results for the year ended on December 31, 2025.
| Element List | Current Year | Previous Year | %Change | ||
|---|---|---|---|---|---|
| Sales/Revenue | 176,172,372 | 263,788,210 | -33.21 | ||
| Gross Profit (Loss) | 23,224,393 | 56,723,738 | -59.06 | ||
| Operational Profit (Loss) | -39,813,387 | 6,628,300 | - | ||
| Net Profit (Loss) Attributable to Shareholders of the Issuer | -45,797,936 | 459,379 | - | ||
| Total Comprehensive Income Attributable to Shareholders of the Issuer | -45,979,606 | 208,917 | - | ||
| Total Shareholders Equity (after Deducting Minority Equity) | 26,908,796 | 60,902,021 | -55.82 | ||
| Profit (Loss) per Share | -0.38 | 0 | |||
| All figures are in (Actual) Saudi Arabia, Riyals | |||||
| Element List | Amount | Percentage of the capital (%) | |
|---|---|---|---|
| Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value | - | - | |
| Accumulated Losses | -148,434,801 | -123.7 | |
| All figures are in (Actual) Saudi Arabia, Riyals | |||
| Element List | Explanation |
|---|---|
| The reason of the increase (decrease) in the sales/ revenues during the current year compared to the last year | The decrease in revenues during 2025 compared to the previous year is attributed to delays in the delivery and execution of certain projects. |
| The reason of the increase (decrease) in the net profit during the current year compared to the last year is | The shift to a net loss in 2025, compared to a net profit in the previous year, is attributed to a decline in revenues, an increase in operating costs, as well as the recognition of an impairment provision on trade receivables amounting to SAR 31.7 million, and an amortization provision for assets amounting to SAR 1 million. |
| Statement of the type of external auditor's report | Conservation |
| Comment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion) | During the year ended 31 December 2024, management restated revenues and related accounts for prior years. However, no corresponding adjustments were made to the cost of revenues for the year ended 31 December 2023 or to accrued project costs up to that date. Accordingly, we were unable to verify the accuracy of the comparative financial information related to the cost of revenues for the year ended 31 December 2024 through alternative audit procedures, nor were we able to determine whether any adjustments might have been necessary to the financial statements for the year ended 31 December 2024. |
| Reclassification of Comparison Items | Not Applicable |
| Additional Information |
The Company would like to announce that the loss per share for the current year 2025 amounted to SAR (0.382), compared to earnings per share of SAR 0.004 for the previous year 2024.
During 2025, the Company’s operating losses before provisions amounted to SAR (7.04) million. The financial results were further impacted by the recognition of an impairment provision on trade receivables amounting to SAR 31.7 million, in addition to an amortization provision for assets of SAR 1 million. Accordingly, total operating losses after accounting for these items amounted to SAR (39.8) million. Accumulated losses as at the end of the current year amounted to SAR (148,434,801) , representing (123.70%) of the Company’s capital. The reasons for these losses are as follows: Recognition of impairment provisions on customer accounts. Increase in operating costs. Delays in the execution of certain projects, which impacted revenues. The actions to be taken by the Company in relation to these losses: Studying options for capital restructuring and improving operational efficiency, collections, and the Company’s financial position. Focusing on the execution of existing projects and growing revenues from new projects. Transfer of the statutory reserve balance amounting to SAR 13.5 million, as per the financial statements for the year ended 31/12/2025, to accumulated losses (previously approved at the Extraordinary General Assembly meeting held on 26/03/2026, and announced on 29/03/2026) Transfer of the share premium balance amounting to SAR 41.7 million, as per the financial statements for the year ended 31/12/2025, to accumulated losses (previously approved at the Extraordinary General Assembly meeting held on 26/03/2026, and announced on 29/03/2026) Date of reaching accumulated losses: 31/12/2025 Date of Board of Directors’ awareness of the accumulated losses: 05/05/2026 Last date for the Board to disclose its recommendations regarding the accumulated losses: 04/07/2026 Last date for the Board to call for an Extraordinary General Assembly meeting to consider the continuation of the Company: 01/11/2026 The procedures and instructions applicable to listed companies on the Saudi Exchange whose accumulated losses reach 20% or more of their capital will be applied. The above dates are determined in accordance with Article 132 of the Companies Law, which stipulates the following: If the losses of a joint stock company reach half of its issued capital, the Board of Directors must disclose this within 60 days from the date of its awareness, along with its recommendations regarding such losses. The Board must also call for an Extraordinary General Assembly meeting within 180 days from the date of its awareness to consider the continuation of the Company by taking the necessary measures to address such losses or to dissolve the Company. |
Year-on-Year Performance Drivers
Sales declined 33.21% YoY to 176.17 million SAR primarily due to delays in delivery and execution of certain projects. The company shifted from a net profit of 0.46 million SAR to a net loss of 45.80 million SAR, driven by declining revenues, increased operating costs, recognition of impairment provisions on trade receivables amounting to 31.7 million SAR, and asset amortization provisions of 1 million SAR.
Quarter-on-Quarter Performance Drivers
Revenue declined 33.21% year-over-year to SAR 176.17 million due to delays in delivery and execution of certain projects. The company shifted from a net profit of SAR 0.46 million to a net loss of SAR 45.80 million, primarily driven by declining revenues, increased operating costs, and recognition of SAR 31.7 million impairment provision on trade receivables plus SAR 1 million asset amortization provision.
Other Items
Keir International Company received a qualified audit opinion ("Conservation") due to auditors' inability to verify the accuracy of comparative financial information related to cost of revenues for 2024, as management restated revenues without corresponding cost adjustments for 2023. The company faces significant financial distress with accumulated losses of SAR 148,434,801 representing 123.70% of capital, triggering regulatory procedures under Article 132 of the Companies Law. The Board must disclose recommendations regarding losses by July 4, 2026, and call an Extraordinary General Assembly by November 1, 2026, to consider company continuation or dissolution. Loss per share reached SAR 0.382 compared to earnings of SAR 0.004 in the previous year. The company approved transfers of statutory reserve (SAR 13.5 million) and share premium (SAR 41.7 million) to offset accumulated losses.
Original announcement:
https://www.saudiexchange.sa/wps/portal/saudiexchange/newsandreports/issuer-news/issuer-announcements/issuer-announcements-details/?anId=95015&anCat=1&cs=9542&locale=arImportant Notice: The announcement information and market data in this report are sourced directly from the Saudi Exchange (Tadawul). This summary is generated by Sahm’s proprietary AI model for informational purposes only. While we strive for accuracy, it should not be construed as financial advice or an investment recommendation.