On 2026-03-31 07:47:55 (Saudi Time), Middle East Paper Co. announced its Annual financial results for the twelve months ended on December 31, 2025.

Element List	Explanation
The reason of the increase (decrease) in the sales/ revenues during the current year compared to the last year	Revenue remained stable during 2025, decreasing by less than 1% compared to 2024, as the slight decline in sales volumes was largely offset by improved selling prices.
The reason of the increase (decrease) in the net profit during the current year compared to the last year is	Net profit improved significantly in 2025 compared to 2024, mainly due to a 3% reduction in cost of revenue, a 22% decrease in selling and distribution expenses, a 26% decline in general and administrative expenses, reversal of impairment losses on financial assets, absence of prior-year write-offs, and a 179% increase in other operating income. This was further supported by a 31% reduction in zakat expense, resulting in a turnaround from net loss to net profit.
Statement of the type of external auditor's report	Unmodified opinion
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)	We draw attention to Note 12(b) to the consolidated financial statements, which describes the advance paid by the Group in prior years to acquire land through a public auction. As at 31 December 2025, while the legal ownership of the land is not under dispute, the administrative and procedural steps required to complete the transfer of the title deed into the Group’s name remain ongoing. Our opinion has not been modified in respect of this matter.
Reclassification of Comparison Items	Further details are provided in Note 34 to the financial statements.
Additional Information	For more information, please refer to the attached disclosure
Attached Documents

Year-on-Year Performance Drivers

Sales remained relatively stable with a marginal 0.44% YoY decline to 1,060.53 million SAR, as slight volume decreases were offset by improved selling prices. Net profit dramatically improved from a loss of 77.33 million SAR to a profit of 23.41 million SAR, driven by a 3% reduction in cost of revenue, 22% decrease in selling and distribution expenses, 26% decline in general and administrative expenses, reversal of impairment losses, absence of prior-year write-offs, and a 179% increase in other operating income.

Other Items

The auditors issued an unmodified opinion but included an emphasis of matter paragraph regarding Note 12(b), which states: "We draw attention to Note 12(b) to the consolidated financial statements, which describes the advance paid by the Group in prior years to acquire land through a public auction. As at 31 December 2025, while the legal ownership of the land is not under dispute, the administrative and procedural steps required to complete the transfer of the title deed into the Group's name remain ongoing. Our opinion has not been modified in respect of this matter." The company achieved a turnaround with operational profit of 44,967 thousand SAR compared to an operational loss of 52,533 thousand SAR in the previous year, and earnings per share improved from -0.89 SAR to 0.27 SAR.

Original announcement:

Attached PDF document link:

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