Wajd Life Reports SAR 0.41M Accumulated Losses in 2025
WAJD LIFE 9647.SA | 0.00 |
| Element List | Explanation |
|---|---|
| Introduction |
Referring to the corrective announcement of the annual financial results for the year ended 31/12/2025, published on 10/05/2026, the Company would like to clarify the following:
1-The reasons for the increase (decrease) in sales/revenues during the current year compared to the previous year. 2-The reasons for the increase (decrease) in net profit during the current year compared to the previous year. 3-The amount of accumulated losses and their percentage of the capital. |
| Date of Posting the Previous Announcement of Development on Saudi Exchange’s Website | 2026-05-10 Corresponding to 1447-11-23 |
| Hyperlink to the Previous Announcement | Click Here |
| Change on the Development |
1. The increase in revenue during 2025 compared to 2024 was primarily driven by improved performance across several of the Company’s operating sectors, most notably the medical maintenance sector and the sale of spare parts and medical equipment, in addition to revenues generated from contracts related to medical equipment and general maintenance services. As a result, revenue increased from SAR 54.8 million in 2024 to SAR 84.9 million in 2025, representing an approximate growth rate of 55%.
2. The reason for reporting a net loss during the current year compared to a net profit in the previous year is that, despite a 55% increase in revenues and a 29% improvement in gross profit, the results were impacted by the following factors:
The primary impact resulted from the reassessment of the expected credit loss allowance on trade receivables and contract assets, most of which relate to government receivables. The net allowance recorded during 2025 amounted to SAR 7.0 million, compared to SAR 3.9 million during the restated year of 2024, representing an increase of approximately SAR 3.1 million. This allowance limited the positive impact of revenue growth and improved gross profit, and also contributed to the decline in operating profit from SAR 7.1 million in the previous year to SAR 4.9 million in the current year. In addition, general and administrative expenses increased as a result of the expansion in the scale of business operations and the Company’s operational activities. The current period’s results were also affected by higher finance costs, which amounted to SAR 8.1 million during 2025, compared to SAR 4.7 million in the previous year, negatively impacting the result for the year before Zakat from continuing operations.
3. Accumulated losses as of 31 December 2025 amounted to SAR (408,974), representing 3.27% of the Company’s share capital. This was mainly attributable to the provisions and finance costs mentioned above. |
| Financial Impact on the change | - |
| Additional Information |
The Company confirms that the consolidated annual financial statements for the year ended 31 December 2025 were issued with an unmodified audit opinion. The independent auditor’s report also included an Emphasis of Matter paragraph regarding Note No. (31) to the consolidated financial statements, which relates to the restatement of certain comparative figures for 2024. The auditor clarified that, in its opinion, such adjustments were appropriate and had been properly applied, and that its opinion was not modified in respect of this matter.
The report further noted that the consolidated financial statements for 2024 had been audited by another auditor who had issued an unmodified opinion. |
Year-on-Year Performance Drivers
Revenue increased 55% YoY from SAR 54.8 million in 2024 to SAR 84.9 million in 2025, driven by improved performance in the medical maintenance sector and sales of spare parts and medical equipment. Despite the revenue growth and 29% improvement in gross profit, the company shifted from net profit in 2024 to net loss in 2025, primarily due to increased expected credit loss allowance on trade receivables rising from SAR 3.9 million to SAR 7.0 million. Higher finance costs also contributed to the decline, increasing from SAR 4.7 million in 2024 to SAR 8.1 million in 2025, along with increased general and administrative expenses from business expansion.
Other Items
The company received an unmodified audit opinion for 2025 with an Emphasis of Matter paragraph regarding Note 31, which relates to the restatement of certain comparative figures for 2024. Accumulated losses as of December 31, 2025 amounted to SAR 408,974, representing 3.27% of the company's share capital. Operating profit declined from SAR 7.1 million in 2024 to SAR 4.9 million in 2025 despite revenue growth, primarily due to increased provisions for expected credit losses on trade receivables and contract assets, most of which relate to government receivables.
Original announcement:
https://www.saudiexchange.sa/wps/portal/saudiexchange/newsandreports/issuer-news/issuer-announcements/issuer-announcements-details/?anId=95260&anCat=1&cs=9647&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.