Riyadh - Mubasher: Saudi Cable Company recorded 59.80% year-on-year (YoY) lower net profits at SAR 26.09 million for the first six months (6M) of 2026, compared to SAR 64.89 million.
The company attributed the downturn to a 35% drop in revenue, which fell to SAR 48.31 million, driven by liquidity challenges and a reduction in customer prepayments.
For the second quarter (Q2) of 2026, net profit reached SAR 2.47 million, an 86.44% decrease compared to SAR 18.23 million in the prior-year period.
Operational performance was impacted by higher raw material prices and increased logistics costs stemming from regional geopolitical conditions.
The company noted that its share of profits from associate Midal Cables reached SAR 99 million, though this represented a 19% decline from the previous period.
The company’s auditor issued a material uncertainty note regarding going concern, highlighting accumulated losses of SAR 248.75 million, representing 372.80% of capital.
Current liabilities exceeded current assets by SAR 669.47 million as of 30 June 2026.
Management is currently pursuing a recovery plan involving a rights issue and projected revenue growth from future orders to address the capital deficit.
On 21 July, the company penned a SAR 20 million Sharia-compliant credit facility agreement with Saudi Investment Bank (SAIB).
