Saudi Real Estate Profits Jump 153% at End of 3rd Quarter

The profits of real estate sector companies in Saudi Arabia jumped by 153 percent during the first nine months of 2023. (SPA)
The profits of real estate sector companies in Saudi Arabia jumped by 153 percent during the first nine months of 2023. (SPA)
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Saudi Real Estate Profits Jump 153% at End of 3rd Quarter

The profits of real estate sector companies in Saudi Arabia jumped by 153 percent during the first nine months of 2023. (SPA)
The profits of real estate sector companies in Saudi Arabia jumped by 153 percent during the first nine months of 2023. (SPA)

The profits of real estate sector companies in Saudi Arabia jumped by 153 percent during the first nine months of 2023, compared to the same period last year, due to the growth of real estate and the major development projects implemented by the Saudi government and the private sector.

Real estate sector companies achieved an increase in their profitability during the third quarter of 2023, amounting to SAR 1.35 billion ($367.5 million) over the same period last year, after achieving consolidated profits amounting to SAR 2.23 billion ($602.1 million), compared to profits amounting to SAR 883.16 million ($238.4 million) in the same period of 2022.

The combined net profits of real estate companies listed on the Saudi Tadawul main market increased by 84.39 percent during the third quarter of 2023 on an annual basis, while 13 companies listed in the sector achieved combined profits amounting to SAR 971.04 million, compared to profits of SAR 526.64 million in the third quarter of 2022.

Real estate sector companies continued to record profitability on a quarterly basis. Their profits increased by 44.58 percent during the third quarter of 2023 compared to the second quarter of the same year, reaching SAR 671.61 million.

In sales volume and revenues, real estate sector companies recorded an increase by 13.99 percent, reaching SAR 3.29 billion, compared to SAR 2.89 billion in the same quarter of last year. Revenues in the first nine months of 2023 also increased by 9.99 percent. The companies achieved sales and revenues worth more than SAR 9.94 billion in the first nine months of 2023, compared to SAR 9.04 billion in the same period last year.



Saudi Council of Economic and Development Affairs Reviews Local, Global Economic Developments

The Saudi flag. Asharq Al-Awsat
The Saudi flag. Asharq Al-Awsat
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Saudi Council of Economic and Development Affairs Reviews Local, Global Economic Developments

The Saudi flag. Asharq Al-Awsat
The Saudi flag. Asharq Al-Awsat

The Saudi Council of Economic and Development Affairs has convened via video conference to review reports and agenda items, including a monthly update on local and global economic developments for October 2024.

The update provided an overview of the global economy, analyzed developments in major economies, identified key challenges, and assessed their potential impact on the national economy.

The council reviewed the Kingdom's significant strides in the cybersecurity sector. The nation's classification as a 'Role-modelling' in the UN Global Cybersecurity Index 2024 reflects the unwavering support of the wise leadership for the sector and in implementing Saudi Vision 2030's programs, it said.

The council also reviewed a report on the implementation of its decisions and recommendations from the third quarter of 2024. The report detailed the council's outputs. It highlighted a notable increase in entities achieving over 98% in performance indicators.

The council was briefed on the outcomes of the Saudi delegation's participation in the first Saudi-Brazilian Aviation Conference, including the signing of agreements and memoranda of cooperation that will further solidify the Kingdom's leading role in the aviation sector, aligning with the plans and strategies of Vision 2030.

The council discussed other topics and reports, including those related to the Local Content and Government Procurement Authority and the national program for leadership development.

It also reviewed the economic outlook report for the first quarter of 2024. It examined the executive summary of foreign trade for July, the summary of the wholesale price index report for August, and the summary of the consumer price index report for August.

It made necessary decisions and recommendations on these matters.