Riyadh – Mubasher: Five Tadawul-listed transport companies moved to losses during the third quarter (Q3) of 2020 as revenues from activities plunged due to the adverse effects of the coronavirus crisis.
The companies suffered a loss of SAR 130.83 million during the quarter ended in September 2020, compared with profits of SAR 269.234 million in the year-ago quarter, according to data collected by Mubasher based on the companies’ financial results.
Explaining the reason behind the negative quarterly results, member of the Saudi Economic Association, Saad Al Thaqfaan, told Mubasher that the coronavirus pandemic has hit-hard the local and global transport sector. In addition, the halt of Umrah services and performing this year's Hajj with limited numbers of pilgrims further affected the companies' performance.
He expected the transport companies to report similar results in the fourth quarter as no material changes are seen.
In the meantime, Saudi Ground Services Company (SGS) turned to a loss worth SAR 86.79 million, against profits of SAR 120.211 million.
On the contrary, profits of the Saudi Industrial Services Company (SISCO) hiked by 319.4% on a yearly basis to reach SAR 28 million.
During the first nine months of the year, the transport sector’s losses amounted to SAR 419.68 million, compared with profits of SAR 603.67 million in the prior-year period.