Riyadh – Mubasher: The Saudi Company for Hardware (SACO) reported a 38.8% growth in net profit after zakat and tax during 2020, as shown by the company’s annual financial results on Sunday.
Net profits stood at SAR 85.53 million last year, up from SAR 61.63 million in 2019, while profit per share increased to SAR 2.38 from SAR 1.71.
The rise in profits was attributed to SACO’s expansion strategy and the opening of four new showrooms, which resulted in an increase in sales, despite the partial and complete closure of the company's showrooms from 17 March until late April, according to the company’s statement to the Saudi Stock Exchange (Tadawul).
Moreover, the company noted that it saw improved gross profit margin, higher e-commerce sales, and a decrease in sales and marketing costs, as well as lower general and administrative expenses.
SACO announced the distribution of SAR 27 million in cash dividends to shareholders for the second half (H2) of 2020, at SAR 0.75 per share.
Cash dividends represent 7.5% of the share's par value and are set to be distributed on 11 April, the company disclosed in a separate statement.
