Qomel sees continued demand growth, sets timetable for TASI transition: CEO

Hisham Al-Agla, CEO of Qomel Co.

Hisham Al-Agla, CEO of Qomel Co., said that demand for the company's products picked up during the first half of 2025 and is expected to continue growing moving forward.

In statements to Argaam, the top executive added that construction work on the new plant is more than 90% complete, with production likely to commence before the end of this year.

He indicated that the new plant will directly impact sales growth over the next three years until it reaches full production capacity, highlighting that this will reflect positively on the company's revenues and profits.

The increase in profit margins will occur gradually, as the plant incurred significant capital expenditures initially. “It is unlikely that current profit margins will be maintained until the plant reaches full production capacity. However, within three or four years, this will begin to reflect positively on margins,” he added.

Qomel is seeking the transition to the Main Market (TASI) and has already completed many of the requirements of the Capital Market Authority, said the top executive, noting that a timeline has been set for the transition and application submission, expecting the remaining procedures to be finalized by the beginning of next year.

The company has obtained approval from the Saudi Food and Drug Authority to register a number of new products, which have contributed to a gradual increase in sales in the first half of this year. It has a large number of products under registration, and it is expected to obtain successive approvals to market these products during the second half of this year, according to the CEO.

He further stated that the pharmaceutical market in the Kingdom is witnessing continuous growth, adding that the company is taking major steps towards keeping pace with this growth and boosting its market share through the sale and marketing of new products.

The company's focus remains on the Saudi market at this stage, but it has strategic goals to enter new markets in the region through products that will be manufactured locally once the plant is operational, Al-Agla said.

According to data available with Argaam, Qomel's profits rose to SAR 11.8 million during H1 2025, an 8% increase compared to SAR 11 million during the same period in 2024.

The company’s shares debuted on the Nomu-Parallel Market in May 2024.