Jahez International Company for Information Systems Technology Full Year 2023 Earnings: Misses Expectations

Jahez International Company for Information Systems Technology (TADAWUL:9526) Full Year 2023 Results

Key Financial Results

• Revenue: ر.س1.78b (up 11% from FY 2022).
• Net income: ر.س125.3m (up 113% from FY 2022).
• Profit margin: 7.0% (up from 3.7% in FY 2022). The increase in margin was driven by higher revenue.
• EPS: ر.س0.61 (up from ر.س0.29 in FY 2022).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Jahez International Company for Information Systems Technology Revenues and Earnings Miss Expectations

Revenue missed analyst estimates by 7.4%. Earnings per share (EPS) also missed analyst estimates by 7.0%.

The primary driver behind last 12 months revenue was the Delivery Platforms segment contributing a total revenue of ر.س1.77b (99% of total revenue). Notably, cost of sales worth ر.س1.38b amounted to 77% of total revenue thereby underscoring the impact on earnings. The largest operating expense was Sales & Marketing costs, amounting to ر.س150.0m (49% of total expenses). Over the last 12 months, the company's earnings were enhanced by non-operating gains of ر.س23.4m. Explore how 9526's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Hospitality industry in Saudi Arabia.

Performance of the Saudi Hospitality industry.

The company's shares are down 14% from a week ago.

Risk Analysis

We don't want to rain on the parade too much, but we did also find 1 warning sign for Jahez International Company for Information Systems Technology that you need to be mindful of.

Valuation is complex, but we're helping make it simple.

Find out whether Jahez International Company for Information Systems Technology is potentially over or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.

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