Shaker achieved revenue of SAR 1.24 billion for FY23, an increase of 19.19% YoY from SAR 1.04 billion in FY22.

The robust performance was the result of the successful implementation of the company’s strategic growth initiatives, leading to double-digit growth in the HVAC solutions and Home Appliances segment, and a steady rise in market share.

HVAC Solutions grew by 18.11%, driven by the growing focus on the B2B segment and the continued strong brand equity of the B2C segment, leading to improved margins. On the other hand, the Home Appliances segment backed by an expanded product range and targeted marketing efforts grew at 21.19%.

This increase was driven by the focus on strengthening core business segments, deepening strategic partnerships to expand the product portfolio, and optimizing sales channel mix across retail, e-commerce and B2B.

Gross Profit:

FY23 gross profit was SAR 317.76 million, an increase of 33.71% YoY from SAR 237.64 million in FY22.

The increase in gross profit was driven by higher sales, an optimized sales strategy combining diversified product and channel portfolio, and efficient management of cost of goods sold (COGS).). As a result, the gross profit margins improved from 22.91% in FY22 to 25.70% in FY23, reinforcing the company’s strong financial health.

Operating Income:

Income from operations in FY23 reached SAR 89.15 million, an increase of 110.48% YoY from SAR 42.36 million in FY22.

The strong growth in operating profit was driven by higher revenue and improved gross margin, accompanied with a lower impairment loss on trade and other receivables, a direct result of the company’s proactive efforts to improve the quality of its receivables and collections. This growth helped offset the higher selling, general, and administrative expenses in line with increased sales, continued expansion initiatives and strategic marketing efforts.

Net Profit:

Net profit attributable to owners increased by 99.28% from SAR 32.83 million in FY22 to SAR 65.43 million in FY23. The significant increase in net profit was driven mainly by strong revenue growth, higher operational income, increase in the Company’s share of profit from the LG-Shaker HVAC factory by 51.86% and lower zakat and income tax expense, which helped offset the higher finance costs due to increased SIBOR.