Red Sea expects full write-off of accumulated losses in H1 2026

Logo of Red Sea International Co. (RSI)

Red Sea International Co. (RSI) expects to complete the procedures for its strategic plan to write off all accumulated losses in the first half of 2026, instead of the previously planned deadline of year-end 2025.

In a statement to Tadawul today, Dec. 30, the company said the shift is due to the scheduling of its extraordinary general meeting (EGM) at the beginning of Q1 2026, specifically on Jan. 4, 2026, during which shareholders will vote on transferring the full balance of the share premium, amounting to SAR 295.70 million, to accumulated losses.

The company emphasized that this adjustment applies only to the timeframe for completing the regulatory procedures. It remains committed to executing its plan to strengthen its financial position and achieve its declared objectives. All further developments will be disclosed in due course, it noted.

According to data available with Argaam, Red Sea previously announced its strategic plan to wipe out all accumulated losses, as reported in the Q2 2025 financial statements, before the end of 2025.

At that time, the company indicated that it was seeking EGM approval for a potential capital increase through debt conversion, which would help trim accumulated losses and improve its financial position.