Saudi Printing and Packaging records 10.29% YoY revenue loss in H1 of FY24

SAUDI ARABIA – Saudi Printing and Packaging Company’s (SPP) interim financial results show a 10.29% year-on-year (YoY) revenue decline for the first half of FY24, with earnings dropping to SAR 361.35 million (US$96.28 million) from SAR 402.82 million (US$107.32 million) in H1-23.

The company’s net loss increased dramatically, rising by 164.50% YoY to SAR 93.74 million (US$24.98 million) in H1-24, compared to SAR 35.44 million (US$9.44 million) the previous year.

Consequently, loss per share jumped to SAR 1.56, up from SAR 0.59 in the same period last year.

In the second quarter (Q2) of 2024, the company’s net loss surged by 253.47% to SAR 71.12 million (US$18.95 million), compared to SAR 20.12 million (US$5.36 million) in Q2-23.

Sales for Q2-24 dropped by 9.08% to SAR 174.45 million (US$46.48 million) from SAR 191.89 million (US$51.13 million) in Q2-23.

Quarter-on-quarter (QoQ), net loss increased by 214.41% from SAR 22.62 million (US$6.03 million) in Q1-24, while sales fell by 6.66% from SAR 186.90 million (US$49.80 million).

By the end of June 2024, Saudi Printing and Packaging’s accumulated losses had reached SAR 194.78 million (US$51.90 million), accounting for 32.50% of its capital.

Notably, the company’s net loss in Q1-24 was SAR 22.62 million (US$6.03 million), a 47.65% increase from SAR 15.32 million (US$4.08 million) in Q1-23.

In related news, Labelexpo Global Series has announced the launch of Gulf Print & Pack in Saudi Arabia, set to take place from January 21-23, 2025, at the Riyadh Front Exhibition Conference Center (RFECC).

Building on the success of the Dubai-based Gulf Print & Pack exhibition, this event will showcase the latest in commercial and package printing technology, along with packaging equipment and materials, in Saudi Arabia.

This Riyadh event is part of a broader strategy to solidify Gulf Print & Pack’s presence in the Middle East, with alternating events in Riyadh and Dubai.

The launch of Gulf Print & Pack in Riyadh comes at a time of significant investment in Saudi Arabia, driven by the Vision 2030 initiative, which promotes sustainable growth across various industry sectors.

This investment boom is expected to create substantial business opportunities for commercial printers and packaging converters, fueling demand for automated packaging systems and sustainable packaging materials.

The Saudi plastics packaging market is projected to grow at a compound annual growth rate (CAGR) of 6.6%, reaching US$20.52 billion by 2030, while the paper and paperboard packaging market is expected to hit US$5.87 billion by 2028.

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