RIYADH: Saudi Industrial Services Co., SISCO, which is one of the biggest firms in the Kingdom investing in ports and terminals has recorded a decrease in profit of 58 percent in 2021 as it divested its stake in a major Jeddah terminal.
Annual profit dropped to SR57.9 million ($15.4 million), down from SR139 million a year earlier, the company said in a filing to the Saudi bourse.
In addition, as it divested a stake in the Red Sea Gateway Terminal, or RSGT, the company’s share of income from RSGT fell from 61 percent to 36.4 percent during 2021.
Towards the end of the year, global supply chain disruptions weighed on gateway volumes in the ports segment which in turn adversely impacted margins, the company added.
Even as it reported lower profit, the company’s board proposed dividends of SR0.4 per share for 2021.
SISCO had earlier announced a “strategy which aims to double revenues and improve margins over the next five years,” CEO Mohammed Al-Mudarres, said in a statement. This will be achieved by “expanding logistics services with an emphasis on an asset-light model, growing the ports segment beyond Saudi Arabia and driving the full potential of the existing portfolio,” he added.