Executive Summary | Period:
Revenue
1,681,695,564
Previous1,538,593,680
YoY 9.30%
vs. BudgetUnavailable
Gross Profit
465,011,627
Previous459,646,393
YoY 1.17%
vs. BudgetUnavailable
Operating Profit
171,656,637
Previous174,263,395
YoY -1.50%
vs. BudgetUnavailable
Working Capital
554,986,666
Previous550,168,589
YoY 0.88%
vs. BudgetUnavailable
Performance and Situation
| Metric | Actual | YoY |
|---|---|---|
| Revenue | 1,681,695,564 | +9% |
| Margin | 465,011,627 | +1% |
| EBIT | 171,656,637 | -1% |
| Net Result | 54,912,813 | +4% |
| Working Capital | 554,986,666 | +1% |
| Assets | 4,532,486,900 | +2% |
| Liabilities | 2,823,202,450 | +4% |
Operating profit Bridge
| Revenue | 1,681,695,564 |
| Operating cost | (1,216,683,937) |
| Gross profit | 465,011,627 |
| Other income | 27,559,400 |
| General and administrative | (300,256,430) |
| Impairment of goodwill | 0 |
| Allowance for impairment | (25,459,929) |
| Net gain on investment p... | 4,802,969 |
| Operating profit | 171,656,637 |
Heads-Up Panel
| Net per Unit revenue | 0.0327 | Each rial earned delivers QAR 0.0327 in net profit. |
| Cash survival in years | 0.42 | Moderate — cash covers 42% of annual OPEX (~5 months), still below ideal levels |
| Revenue coverage ratio | Stable | Stable, but still high — explore further release from inventory/receivables |
| Debt ratio | 62% | Stable but still high — continue to manage debt exposure |
| OPEX | (300,256,430.00) | Cost base trimmed by QAR 37M, boosting structural efficiency. |
| EBITDA/Breakeven Revenue | 1,085,856,120.52 | Lower breakeven reflects leaner overhead structure to cover fixed charges |
| Situation vs. Breakeven | 155% | 155% coverage shows improved resilience. |
Executive summary - AI Generated
In 2024, SIIS returned to growth, with revenue up 9.3% to QAR 1.681 billion, led by industrial, retail, and contracting activities. Real estate remained stable. However, margin pressure emerged as operating costs rose nearly 13%, reducing gross margin to 27.6%. Gross profit rose slightly to QAR 465.0 million, while a QAR 36.9 million cut in G&A improved the cost ratio to 17.8%.
Other income declined and impairments rose. Finance costs remained high at QAR 122.2 million, keeping EBIT flat at QAR 171.7 million and the margin at 10.2%. Net profit grew modestly to QAR 47.6 million, with EPS at QAR 0.045.
On the balance sheet, SIIS maintained stability but reabsorbed risk:
* Receivables rose to QAR 332 million,
* Borrowings increased to QAR 2.22 billion,
* Customer advances fell, tightening project liquidity.
Positives included:
* Retained earnings up to QAR 109 million (+QAR 72 million),
* Fair value loss narrowed to QAR 1.5 million,
* DSO dropped to 102 days,
* Cash survival improved to 0.42x (≈5 months of OPEX).
However, DPO dropped to 61 days, and interest consumed 75% of operating profit. Working capital remained high at ~28% of revenue.
Cash increased modestly to QAR 125.0 million (from QAR 117.0M), driven by:
* QAR 188.1M operating inflow,
* QAR 106.7M investing outflow, mostly QAR 129.5M in capex,
* QAR 73.4M financing outflow, including QAR 34.3M dividends and QAR 48.9M NCI buyouts, offset by QAR 607.0M in new borrowings.
The year-end cash balance excluded QAR 54.0M in term deposits, QAR 1.9M in margin deposits, and QAR 58.3M in overdrafts.
SIIS exits FY2024 with record revenue, improved cost discipline, and steady liquidity — but rising receivables, renewed leverage, and limited cash conversion highlight the need to shift from growth to operational cash efficiency.
Action plan - AI Generated
- Stabilize gross margin above 28 percent by capping cost growth below revenue growth.
- Stop the receivables buildup by freezing further credit extensions and launching targeted collection plans.
- Pause new capex commitments unless return exceeds 12 percent and is funded from internal cash.
- Implement a dividend filter allowing payout only if post-dividend liquidity remains above QAR 150 million.
- Avoid new borrowings unless tied to cash-yielding projects; prohibit refinancing for non-productive uses.
- Tighten monitoring of working capital metrics including DSO, DPO, and customer advances to restore internal liquidity leverage.