By: TN Media News
Strong Start to 2025:
Riyadh, Saudi Arabia – Taiba Investments, a prominent hospitality company in the Kingdom, reported a net profit of SAR 131.3 million in the first quarter of 2025. This marks a 36.6% year-on-year increase, up from SAR 96.1 million in Q1 2024, as announced on the Saudi Stock Exchange (Tadawul) website.
The impressive growth was driven by a rise in operating revenues from the hotel and residential sectors, particularly in Makkah and Madinah.
Key Financial Highlights:
Net profit: SAR 131.3 million, up 36.6% YoY
Operating revenues: SAR 357.8 million, up 7.7% YoY
Earnings per share (EPS): SAR 0.50, compared to SAR 0.37 in Q1 2024
Quarter-on-quarter (QoQ) revenue growth: SAR 20.5 million or 6.1%
QoQ net profit growth: 45.7%
Drivers of Growth:
The surge in revenues was mainly attributed to:
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Higher occupancy rates
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A rise in Umrah pilgrims and seasonal visitors
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Enhanced performance in the company’s hospitality assets in holy cities
These factors led to increased spending and longer stays, boosting both room and service revenues.
CEO Statement:
Sultan Badr Al-Otaibi, CEO of Taiba Investments, highlighted the broader sectoral trends fueling the growth:
“The increase in Taiba’s profits during Q1 2025 reflects the remarkable growth of the Kingdom’s tourism sector, supported by the Saudi government’s initiatives under Vision 2030.”
He added:
“This progress has positively impacted the hospitality sector, leading to a clear improvement in overall revenues.”
Al-Otaibi also emphasized the company’s commitment to delivering premium hospitality that enhances the spiritual experience for pilgrims and Umrah performers.
Expanding Portfolio
Taiba currently manages a diversified portfolio of around 40 properties, including:
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Hotels
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Residential communities
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Commercial plazas
The company operates over 7,700 keys and has eight properties under development. Strategic alliances with international brands such as Marriott International, Sheraton, Crowne Plaza, and Holiday Inn are central to its long-term strategy.
Looking Ahead:
As tourism continues to flourish under Vision 2030, Taiba Investments is poised to capitalize on the growing demand for high-quality accommodations. With strong fundamentals, an expanding asset base, and strategic partnerships, the company is well-positioned for sustained profitability.
