Banan Real Estate Co. reported a net profit of SAR 18.2 million for the first six months of 2025, a decline of 9% from SAR 20.1 million in the year-earlier period.
Item | 6m 2024 | 6m 2025 | Change |
---|---|---|---|
Revenues | 59.52 | 35.74 | (40.0 %) |
Gross Income | 36.26 | 29.32 | (19.1 %) |
Operating Income | 32.01 | 24.72 | (22.8 %) |
Net Income | 20.05 | 18.17 | (9.4 %) |
Average Shares | 200.00 | 200.00 | - |
Earnings Per Share before unusual items (Riyals) | 0.10 | 0.09 | (9.4 %) |
EPS (Riyal) | 0.10 | 0.09 | (9.4 %) |
The profit decline was attributed to lower revenue, despite an 8% year-on-year (YoY) rise in rental income. This was driven by the absence of land sales in the current period, versus SAR 26.3 million of land sales recorded a year earlier.
Financing costs (FCs) rose SAR 2.65 million YoY, largely due to higher funding expenses at the subsidiary, Qimam Noshoz Real Estate Development Co.
Item | Q2 2024 | Q2 2025 | Change |
---|---|---|---|
Revenues | 20.23 | 17.71 | (12.5 %) |
Gross Income | 15.30 | 14.60 | (4.5 %) |
Operating Income | 12.88 | 12.25 | (4.9 %) |
Net Income | 6.42 | 8.17 | 27.3 % |
Average Shares | 200.00 | 200.00 | - |
Earnings Per Share before unusual items (Riyal) | 0.03 | 0.04 | 27.3 % |
EPS (Riyal) | 0.03 | 0.04 | 27.3 % |
Item | Q1 2025 | Q2 2025 | Change |
---|---|---|---|
Revenues | 18.03 | 17.71 | (1.8 %) |
Gross Income | 15.25 | 14.60 | (4.2 %) |
Operating Income | 12.49 | 12.25 | (1.9 %) |
Net Income | 10.00 | 8.17 | (18.3 %) |
Average Shares | 200.00 | 200.00 | - |
Earnings Per Share before unusual items (Riyal) | 0.04 | 0.04 | (6.8 %) |
EPS (Riyal) | 0.05 | 0.04 | (18.3 %) |
Q2 2025 profit rose YoY as the cost of revenue had fallen by SAR 1.8 million, or 37%, due to the absence of land sale costs. This is in addition to a SAR 2.1 million impairment reversal on investment properties, which supported the results of the three-month period.
However, revenue declined YoY, as no land sales occurred in Q1 2025 versus SAR 3.62 million of sales in the Qadisiyah area last year, while rental income rose 7% YoY.
FCs grew by SAR 2.3 million YoY; the majority of the increase came from the subsidiary, Qimam Noshoz.
On a sequential basis, profit slightly fell due to a SAR 324,000 (1.8%) drop in revenue caused by tenant turnover and temporary vacancies in some properties.
Meanwhile, FCs rose by SAR 1.85 million from Qimam Noshoz after a land purchase in the Rahmaniyah district.
Total shareholders’ equity, after minority interest, reached SAR 414.21 million by June 30, 2025, compared to SAR 393.50 million in the prior-year period.
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