Saudi Airlines Catering Company, which provides in-flight catering, reported 2014 net profit of SAR 653.9 million, a 15 percent increase compared to last year.

A net profit of SAR 172.8 million was reported for Q4-2014 compared to SAR 155.0 million for Q3.

The company attributed the increase of 2014’s net profit compared to last year to strong airline division sales. Net profit increased by 15% in total of which 12% related to revenue growth and 3% because of a decrease in general & administrative expenses.

The increase of Q4-2014’s net profit compared to the same period last year was attributed to revenue’s by 10% with major contribution from strong in-flight catering sales 6 %, Al-Fursan lounges sales 41%, Sky-Sales 16% and non-airline sales 32%. Al-Fursan lounges sales benefitted from new openings in Riyadh and Dammam, main drivers for the substantial increase in non-airline sales were contract wins in remote site management. Gross profit increased by 3% in line with the total segmental revenue increase. Net profit increased by 36% mainly because of the strong topline growth and various releases of cost provisions.

The increase of Q4’s net profit compared to the previous quarter (Q3-2014) was attributed to savings in general and administrative expenses and the increase of other revenue.