عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Saudi ‘Mawani’… Destination of Global Navigation Routes

Giant crane to lift containers in a Saudi port. Asharq Al-Awsat
Giant crane to lift containers in a Saudi port. Asharq Al-Awsat
TT
TT

Saudi ‘Mawani’… Destination of Global Navigation Routes

Giant crane to lift containers in a Saudi port. Asharq Al-Awsat
Giant crane to lift containers in a Saudi port. Asharq Al-Awsat

The total number of transshipment containers in Saudi ports have increased by more than 19 percent in the first half of 2018.

This new indicator confirms the performance, productivity and logistical and operational capacities of Saudi ports.

In this regard, Saudi Ports Authority, Mawani, reported that the total number of transshipment containers in the Saudi ports during the first half of this year has amounted to 1.03 million, an increase of 19.35% compared to 867,000 containers during the same period last year.

The increase comes within Mawani's efforts to enhance the Saudi port services, productivity and operational and logistic capabilities to achieve the Kingdom’s Vision 2030.

Transshipment is the process of transferring containers from one vessel to another through the port to transport it to its final destination, which is more like a transit.

It is a value-added service that world major ports seek to add by attracting regular international shipping routes.

These developments come as a statistical report issued by Mawani has revealed that more than six million transshipment and standard containers were delivered during 2017, a high figure reflecting the vitality of the Saudi economy.

According to the same statistical report, the number of standard containers delivered during 2017 amounted to 4.47 million standard containers while the number of transshipment containers reached 1.93 million.

The report pointed out that the Saudi ports have witnessed a noticeable increase in performance and productivity indicators during 2017 compared to 2016.

This improvement is attributed to the efforts exerted by the ports and related parties that aim to strengthen the national economy and enhance the Kingdom's commercial position to achieve the Kingdom’s Vision 2030 by strengthening Saudi Arabia’s status as a global logistics center.

Most Viewed

 
 
Business

Revenue Growth, Improved Operational Efficiency Boost Profitability of Saudi Telecom Companies

A man monitors the movement of stocks on the Saudi Tadawul index. (AFP)
A man monitors the movement of stocks on the Saudi Tadawul index. (AFP)
TT
TT

Revenue Growth, Improved Operational Efficiency Boost Profitability of Saudi Telecom Companies

A man monitors the movement of stocks on the Saudi Tadawul index. (AFP)
A man monitors the movement of stocks on the Saudi Tadawul index. (AFP)

Telecommunications companies listed on the Saudi Stock Exchange (Tadawul) achieved a 12.46 percent growth in their net profits, which reached SAR 4.07 billion ($1.09 billion) during the second quarter of 2024, compared to SAR 3.62 billion ($965 million) during the same period last year.

They also recorded a 4.76 percent growth in revenues during the same quarter, after achieving sales worth more than SAR 26.18 billion ($7 billion), compared to SAR 24.99 billion ($6.66 billion) in the same quarter of 2023.

The growth in the revenues and net profitability is the result of several factors, including the increase in sales volume and revenues, especially in the business sector and fifth generation services, as well as the decrease in operating expenses and the focus on improving operational efficiency, controlling costs, and moving towards investment in infrastructure.

The sector comprises four companies, three of which conclude their fiscal year in December: Saudi Telecom Company (STC), Mobily, and Zain Saudi Arabia. The fiscal year of Etihad Atheeb Telecommunications Company (GO) ends on March 31.

According to its financial results announced on Tadawul, Etihad Etisalat Company (Mobily) achieved a 33 percent growth rate of profits, bringing its profits to SAR 661 million by the end of the second quarter of 2024, compared to SAR 497 million during the same period in 2023. The company also achieved a 4.59 percent growth in revenues to reach SAR 4.47 billion, compared to SAR 4.27 billion in the same quarter of last year.

The Saudi Telecom Company achieved the highest net profits among the sector’s companies, at about SAR 3.304 billion in the second quarter of 2024, compared to SAR 3.008 billion in the same quarter of 2023. The company registered a growth of 4.52 percent in revenues.

On the other hand, the revenues of the Saudi Mobile Telecommunications Company (Zain Saudi Arabia) increased by about 6.69 percent, as it recorded SAR 2.55 billion during the second quarter of 2024, compared to SAR 2.39 billion in the same period last year.

Commenting on the quarterly results of the sector’s companies, and the varying net profits, the head of asset management at Rassanah Capital, Thamer Al-Saeed, told Asharq Al-Awsat that the Saudi Telecom Company remains the sector leader in terms of customer base expansion.

He also noted the continued efforts of Mobily and Zain to offer many diverse products and other services.

Financial advisor at the Arab Trader Mohammed Al-Maymouni said the financial results of telecom sector companies have maintained a steady growth, up to 12 percent, adding that Mobily witnessed strong progress compared to the rest of the companies, despite the great competition which affected its revenues.

He added that Zain was moving at a good pace and its revenues have improved during the second quarter of 2024. However, its profits were affected by an increase in the financing cost by SAR 26.5 million riyals and a rise in interest, while net income declined significantly compared to the previous year, during which the company made exceptional returns.