Riyadh – Mubasher: The board of United Electronics Company (eXtra) decided, on 30 April 2023, to discontinue the Saudi firm’s plans to scale up business in Egypt.

The Tadawul-listed firm indicated that the negative financial impact of halting the project in the Arab Republic is forecast to reach SAR 38 million, according to a recent bourse filing.

eXtra noted that it will disclose any further developments regarding this matter at a later time.

In December 2022, the Saudi company’s board members agreed to establish a fully-owned subsidiary in Egypt through initial direct investments valued at EGP 1 billion.

It is worth highlighting that eXtra logged net profits after Zakat and tax worth SAR 84.40 million in the first quarter (Q1) of 2023, an annual plunge of 13.44% from SAR 97.51 million.

Revenues rose by 1.85% to SAR 1.43 billion in Q1-23 from SAR 1.41 billion in Q1-22, while the earnings per share (EPS) declined to EGP 1.06 from EGP 1.22.