Ferry impressive: Saudi ports, warehouse operator enjoys strong Q1 growth

The logistics, ports and services division of the business also saw strong growth

  
Ship Ever Given, one of the world's largest container ships, is seen after it was fully floated in Suez Canal, Egypt March 29, 2021. Image used for illustrative purpose

Ship Ever Given, one of the world's largest container ships, is seen after it was fully floated in Suez Canal, Egypt March 29, 2021. Image used for illustrative purpose

REUTERS/Mohamed Abd El Ghany

JEDDAH: Saudi Industrial Services Company (SISCO), a strategic investor in the Kingdom’s ports and terminals, on Sunday reported that revenue in Q1 2021 rose 51.6 percent year-on-year (YoY) to SR253.6 million ($67.63 million), while net income grew 21.4 percent to SR32.3 million over the same period.

Revenue from the ports and terminals segment increased by 70.8 percent YoY in the first three months of 2021 to reach SR211.5 million, while the logistics division saw revenue rise 24.4 percent to SR24 million.

The surge in revenue for the ports and terminals business was due to increased efficiencies, but also as a result of the 65.7 percent rise in container volumes compared with Q1 2020.

The logistics, ports and services division of the business also saw strong growth, with warehousing occupancy rates averaging at around 99 percent for the quarter, with plans to develop further facilities to cater to demand, especially for new contracts signed in 2020, including those with energy giant Aramco.

“SISCO continues to achieve very strong results despite operating in a challenging macro-economic environment,” SISCO CEO Mohammed Al-Mudarres said in a statement.

He added: “In the first quarter, the Group achieved significant top-line growth in the ports and logistics business, driven by improved gateway and transshipment volumes and growth in our warehouse and logistics services offer. With new customers for the logistics business now onboarded we are seeing strong growth in demand for services.”

The company also said it is looking at potential investment opportunities in order to maintain its healthy revenue growth.

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