SACO proceeds with strategic transformation plan, cuts 2023 loss by 51%: CEO

Abdel-Salam Bdeir, CEO of SACO

Saudi Company for Hardware (SACO) is proceeding with its strategic transformation plan and reduced 2023 losses by 51%, CEO  Abdel-Salam Bdeir told Argaam.

The improved results were driven by higher gross profit on business development as well as logistical and operational efficiency, in addition to reducing administrative, general, financing, and labor expenses. This was besides controlling sales and marketing expenses.

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The improved results were driven by higher gross profit on business development, logistical and operational efficiency, in addition to reducing administrative, general, financing, and labor expenses. This was besides controlling sales and marketing expenses.

The robust performance came despite the stagnation witnessed in the retail market in general, which contributed to the decline in sales, the CEO said. He added that SACO sold a large part of its old inventory at liquidation prices and reduced the prices of a large number of products to be more competitive in the market and attractive to customers.

The company also faced the challenge of delayed arrival of several new items and products, Bdeir noted.

In response to a question on branch closures, the top executive said SACO branches did not witness any closures or openings during the fourth quarter of 2023.

He added that the company focuses on its e-platform and is working hard to develop and launch its new version as quickly as possible.

Further, Bdeir underscored the development of SACO exhibitions by introducing new products and goods at competitive prices and providing better customer service.

"This will reflect positively on the company’s sales and performance in 2024," he noted.