Saudi Arabia’s Public Transport Company (SAPTCO) shares achieved a remarkable rise on Tuesday. They reached their highest level in more than five years as continuing to record profits for the third consecutive day.
SAPTCO shares recorded a gain of 9.99%, achieving the highest percentage of profits since April of last year.
The share value reached 20.04 riyals, its highest level since December 2015.
SAPTCO shares are rising
Financial statements showed that the trading volume of SAPTCO shares reached about 10.82 million shares. The shares, which were distributed over 5.7336 thousand transactions, were at the value of 214.176 million riyals.
The Saudi Stock Market General Index (TASI) profits increased by 0.38%, to reach 9116.20 points. This means gaining 34.42 points after trading at 9 billion riyals.
SAPTCO’s financial results showed that the company moved from registering a net loss of about 377.715 million riyals in the year 2020, after a comparison with the net profits recorded in the year 2019, which was 33.92 million riyals.
SAPTCO attributed the reason for recording losses last year to several factors. Most notably, revenues decline due to the government’s precautionary measures to face the repercussions of the outbreak of the Coronavirus pandemic.
Earlier last week, SAPTCO’s board of directors recommended not to distribute cash dividends to shareholders for the year 2020.
SAPTCO announced on its official website and on the Tadawul website that the decision is meant to support the cash flow and financial position of the company.
Looking at the company’s consolidated financial results for the period ending on 31 December 2020, SAPTCO’s revenues decreased by 31.6%. They reached 1.17 billion riyals, compared to its sales during 2019 which were at $1.71 billion.
2020 financial results also showed that SAPTCO incurred net losses after zakat and tax of nearly 377.72 million riyals. The company achieved profits of 33.92 million riyals in 2019.
At the same time, the total value of shareholders’ rights decreased after excluding minority rights, to reach 1.27 billion riyals from 1.63 billion riyals in 2019, a decrease of 22.2%.