Saudi Arabia’s transport sector gathered financial momentum in the first half of 2026 as operating activity expanded and several listed companies, particularly those in logistics, ports and transportation, delivered improved performances.
The nine companies’ combined net profit surged 155.5%, or about 395.6 million riyals, to approximately 650 million riyals ($173.3 million), from 254.4 million riyals ($67.8 million) in the same period of 2025.
The improvement was supported by a strong second-quarter performance. Combined revenue rose 13.1% year on year to about 6.21 billion riyals, while the sector swung to a net profit of 156.1 million riyals from a loss of 341.4 million riyals in the second quarter of 2025.
The marked turnaround reflected improved performances by logistics, port and transportation companies, despite continued pressure on some rental and aviation-related services.
The sector comprises nine companies: SAL Saudi Logistics Services Co., Saudi Ground Services Co., United International Transportation Co. (Budget Saudi), Theeb Rent a Car Co., Lumi Rental Co., Saudi Public Transport Co. (SAPTCO), SISCO Holding, flynas and Cherry Trading Co.
SAL Saudi Logistics Services leads profits
SAL Saudi Logistics Services accounted for about 53.5% of the sector’s total first-half profit after its net profit rose 10.4% to approximately 348 million riyals, from 315.3 million riyals in the same period of 2025.
The company attributed the increase to improved operating performance and revenue growth in its cargo handling and logistics segments.
United International Transportation Co. (Budget Saudi) ranked second by profit, reporting a first-half net profit of 127.8 million riyals, down 24% from 168.4 million riyals in the same period a year earlier.
The company attributed the decline to lower utilization rates in its short-term rental business amid geopolitical conditions, as well as higher insurance costs and increased provisions for receivables under a more conservative policy.
SISCO Holding ranked third after its net profit jumped 91% to 85.4 million riyals, from 44.7 million riyals in the first half of 2025, driven by revenue growth and strong performances in its ports and logistics segments.
Sector returns to profitability
At the second-quarter level, the sector’s companies recorded a sharp turnaround in financial performance, posting a combined net profit of about 156 million riyals, compared with a loss of 341 million riyals in the corresponding quarter of 2025.
Combined revenue, meanwhile, continued to grow, reaching 6.213 billion riyals from 5.5 billion riyals a year earlier, an increase of about 13%.
The turnaround is particularly significant because it indicates that the expansion in activity is no longer reflected solely in revenue but is increasingly translating into improved profitability and operating efficiency.
Logistics demand supports growth
Commenting on the results, financial and economic expert Dr. Suleiman Al-Humaid Al-Khalidi, a member of the Saudi Economic Association, told Asharq Al-Awsat that Saudi Arabia’s transport and logistics sector delivered a strong improvement in financial performance during the first half of 2026.
He said the improvement was driven by several factors, chiefly rising demand for logistics services, growth in freight and transportation activity and an expansion in economic activity linked to major projects and Saudi Vision 2030. These factors, he added, have placed Saudi Arabia among the advanced countries in this vital sector.
Al-Khalidi said the factors were strengthening the kingdom’s position among leading countries in transportation and logistics, one of the Saudi economy’s key sectors.
Higher operating efficiency and improved profit margins at several companies also supported the results, alongside expansion in value-added services and digital transformation, which helped increase productivity and improve fleet and supply-chain management, he said.
Revenue growth combined with the sector’s return to profitability was a positive indication of strong and sustainable demand, rather than a temporary improvement in results, Al-Khalidi said.
Saudi Arabia’s economy is expanding across industry, trade, tourism, retail, projects and infrastructure, all of which generate increasing demand for transportation, storage and supply services, he added.
Al-Khalidi said the most important aspect of the first-half results was not merely the increase in revenue, but the companies’ ability to convert that growth into profits and stronger margins, reflecting improved quality of growth and operating efficiency.
He said the sector had significant opportunities for further growth, particularly as investment continues in infrastructure and the development of ports, airports and logistics zones, reinforcing the kingdom’s position as a regional logistics hub linking three continents.