TALCO exports 35% of production, eyes more going forward: CEO

Going forward, the Saudi-listed company aims to further scale up its export threshold, thanks to its solid operating fundamentals and adaptability with market shifts. Accordingly, this should help maintain its positive performance, the top executive added.

He stated that TALCO remains committed to implementing its long-term strategy, which focuses on promoting sustainable growth in vital sectors, expanding exports, and meeting the growing local market demand, given the accelerated implementation of projects under the Saudi Vision 2030.

The company’s Q2 2025 profit growth underscored its strong operational performance, driven by higher sales volumes and a 16.4% increase in sales value, in addition to a 15.7% hike in other income. This in turn has boosted profitability, particularly in terms of project sales and exports, according to the CEO.

Al-Oufi also indicated that TALCO endured no pressure on operating income during the quarter, highlighting that the ratio of administrative & marketing expenses to total sales improved compared to last year.

Moreover, the second-quarter revenue hike was spurred by sales growth in key business divisions, with the aluminum and the accessories segments’ sales rising by 5.5% and 2.8%, respectively, during the three-month period.

“Rising global aluminum prices also boosted revenues, given the company's success in expanding its sales strategies to meet the growing demand from mega-projects as well as local and international clients,” Al-Oufi was quoted as saying.

He clarified that aluminum segment recorded SAR 170.75 million in sales in Q2 2025, compared to SAR 145.02 million in Q2 2024. The accessories segment also recorded higher sales of SAR 8 million, compared to SAR 7.94 million in the same period a year ago.

As for the paints segment, he indicated that increased selling prices, coupled with higher sales volume, contributed to generating sales of SAR 13.1 million in Q2 2025, compared to SAR 11.8 million in the same period of the previous year, reflecting resilience in responding to market changes while also maintaining quality.

He further said that the growth in other income for Q2 2025 helped mitigate the impact of any provisions set aside during the same period. This underpinned the company's effective cost management and operational efficiency while maintaining sound profitability.

According to Argaam’s data, TALCO’s H1 2025 profit fell to SAR 43 million, down 2% compared to SAR 44 million in the same period a year earlier. Meanwhile, the second-quarter profit rose by 3% YoY to SAR 21.4 million.