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Argaam Tools ×
United Electronics Co.'s (eXtra) stronger profit in Q1 2018, was mainly driven by higher sales and preferential prices, in addition to growth in the company's after-sale and installment services, chief executive, Mohamed Galal, told Argaam in an exclusive on Monday.
Though preliminary indicators imply a 10 percent year-on-year drop in the electronics market during the first quarter, eXtra reported growth in sales volumes by garnering more market shares.
"The company achieved growth on the sales and profit levels, thanks to offering the best promotions in Q1, especially during its mega sale marking 15 years since inception, along with its unique products," Galal said.
Meanwhile, the Kingdom's decision on Saudizing the electronics and home appliance shops will bolster organized rather than small retailers, which is likely to boost eXtra on all levels.
eXtra is proceeding to achieve its objectives, such as increasing its market share through opening three new stores this year and enhancing its online platform to reach the biggest number of clients.
The company will also team up with strategic partners, such as Noon.com, as well as the largest manufacturers and suppliers to offer the best products and installment services, Galal added.
The retailer posted a net profit of SAR 21.6 million in Q1 2018, compared to a net profit of SAR 13 million in the same period of 2017, Argaam reported.
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