Riyadh – Mubasher: Cherry Trading Company announced that its shareholders have approved a cash dividend distribution of SAR 15 million for the fiscal year ending 31 December 2025, during an Extraordinary General Assembly Meeting held on 22 June.
The virtual meeting, which saw a shareholder turnout of 73.12%, resulted in the ratification of several key resolutions, including the appointment of external auditors, the approval of related-party transactions, and a comprehensive restructuring of the company’s bylaws to align with the new Saudi Companies Law.
The approved dividend distribution of SAR 15 million represents 5% of the company’s capital, translating to SAR 0.5 per share. Eligibility for these dividends is granted to shareholders registered in the company’s records at the Securities Depository Center (Edaa) by the end of the second trading day following the assembly date.
The company confirmed that the disbursement of these funds is scheduled to commence on 2 July 2026. Furthermore, the assembly authorized the Board of Directors to distribute interim dividends on a semi-annual or quarterly basis for 2026.
In addition to the profit distribution, the assembly reviewed and approved the board and auditor reports for 2025, alongside the annual financial statements.
Shareholders voted to discharge the members of the Board of Directors from liability for the previous year and approved a total remuneration of SAR 1.1 million for board members for the period ending 31 December 2025.
The meeting also addressed the appointment of BDO (Alamri & Co.) as the company’s external auditor. Based on the Audit Committee's recommendation, the firm will be tasked with reviewing and auditing the financial statements for the second, third, and annual periods of 2026, as well as the first quarter (Q1) of 2027. The professional fees for these services were set at SAR 750,000, excluding value-added tax.
A significant portion of the assembly focused on corporate governance and regulatory compliance. Shareholders ratified several related-party contracts involving various entities, primarily linked to board member Abdulaziz Saleh Al Suwail.
These transactions included vehicle transportation services with 10-H Logistics valued at SAR 6.6 million, and multiple lease and service agreements with the parent company, Saudi Idarah Company, totaling over SAR 3.3 million. All contracts were approved under prevailing commercial terms.
Furthermore, the assembly passed a series of amendments to the company’s Articles of Association. These changes were designed to harmonize the company's internal regulations with the updated Saudi Companies Law.
The amendments covered a wide range of articles, including the company’s objectives, capital structure, issuance of bonds and sukuk, and the formation of specialized committees. New provisions were also added regarding the sale of non-fully paid shares, the issuance of various share classes, and specific protocols for board deliberations and financial documentation.
