On 2026-08-09 08:15:39 (Saudi Time), Saudi Company for Hardware 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 declined 7.93% YoY to SAR 473.87 million (from SAR 514.69 million), primarily due to decreased demand for certain seasonal products and logistics services, as well as the closure of one of the company's stores. Net profit attributable to shareholders fell sharply by 97.635% YoY to SAR 0.24 million (from SAR 10.15 million), driven by lower gross profit resulting from reduced sales, the recognition of an exceptional amortization expense of SAR 5.45 million related to the fully amortized e-commerce platform, additional provisions of SAR 3 million (net), and a SAR 6 million decrease in other income (rental income) following the sale of an investment property in the prior year.

Quarter-on-Quarter Performance Drivers

QoQ revenue declined 8.413% to SAR 226.53 million, driven by weaker demand for certain seasonal products and logistics services. The company swung to a net loss of SAR -1.77 million from a prior-quarter profit of SAR 2.01 million, primarily due to the decline in gross profit (down 16.189% QoQ to SAR 32.2 million) resulting from lower sales, compounded by the recognition of additional provisions during the current quarter.

Other Items

The external auditor issued an unmodified conclusion with no additional comments or reservations noted. Comparative period figures have been reclassified to conform with the current period classification. The company noted that net profit for the current period before the exceptional amortization expense and additional provisions amounted to SAR 8.7M, and net profit for the current quarter before additional provisions amounted to SAR 3.3M. Total shareholders' equity (after deducting minority equity) stood at SAR 357.45 million as of the current period, compared to SAR 336.23 million in the same period of the prior year, representing an increase of 6.311%. Earnings per share for the current period were SAR 0.01, down from SAR 0.28 in the same period of the prior year. Additionally, the company stated that the performance of its subsidiary, Medscan, will be reviewed and that an appropriate decision will be taken in a manner that supports and contributes to improving SACO's results.

Original announcement:

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