On 2026-08-11 09:34:07 (Saudi Time), Middle East Specialized Cables Co. announced its Interim financial results for the six months ended on June 30, 2026.

Year-on-Year Performance Drivers

For the six-month period ending 30 June 2026, sales rose 34.477% YoY to SAR 968.1 million (from SAR 719.9 million), driven by higher sales volumes across all cable types, with notable growth in both retail and project sales segments. Net profit attributable to shareholders increased 31.975% YoY to SAR 64.8 million (from SAR 49.1 million), supported by the strong revenue growth and improved gross profit, which rose 39.126% to SAR 152.9 million. However, the profit uplift was partially offset by a 66.1% surge in selling and marketing expenses due to higher volumes and increased sales incentive provisions, a 31.43% rise in general and administrative expenses driven by higher consulting fees and salaries, a 69.88% increase in financing costs reflecting greater raw material purchases (including copper) and higher trade receivables, and a 31.32% increase in Zakat and income tax, as the prior-year period had benefited from one-off Zakat adjustments following finalization of prior-year tax assessments.

Quarter-on-Quarter Performance Drivers

QoQ revenue rose 9.318% to SAR 505.6 million, driven by higher demand for the company's products and efforts to strengthen market share. Despite the revenue growth, net profit attributable to shareholders edged down 0.92% to SAR 32.3 million (vs. SAR 32.6 million in the prior quarter), as selling & marketing expenses climbed 15.12% due to higher sales volumes and increased incentive provisions, and G&A expenses rose 8.02% from higher salaries and consulting fees. These cost pressures were partially offset by a 1.91% decline in financing costs reflecting improved cash management, and a 53.04% drop in Zakat & income tax following a SAR 1.5 million Zakat provision reduction after finalization of prior-year tax assessments.

Other Items

The external auditor issued an unmodified conclusion on the interim financial results for the six months ended June 30, 2026. Total shareholders' equity (after deducting minority equity) stood at SAR 565.9 million as of the current period, compared to SAR 498.8 million in the same period of the prior year, representing a 13.452% increase. Total comprehensive income attributable to shareholders for the current period was SAR 51.1 million, down 6.238% from SAR 54.5 million in the same period last year. On a quarterly basis, total comprehensive income attributable to shareholders reached SAR 31.8 million in the current quarter, up 13.167% from SAR 28.1 million in the same quarter of the prior year, and up 64.766% from SAR 19.3 million in the previous quarter. Earnings per share for the current period were SAR 1.62, compared to SAR 1.23 in the same period last year. No material risks, going concern uncertainties, or accumulated losses were disclosed. Certain comparative figures have been reclassified to conform to the presentation of the current period.

Original announcement:

Important 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.