Saudi Taajeer 9-month profit up 30pc

Jeddah, December 1, 2012

Taajeer, a leading leasing specialist company in Saudi Arabia, registered a net profit of SR121 million ($32.2 million) for the first nine months, up 30 per cent when compared to the same period last year, said a senior official.

Omar Hindi, CEO and managing director of the company, said the company's robust profits were on account of growing bank confidence, where the total financing through securitization reached SR800 million in the first nine months.

The company, he stated, was poised to post record profits of SR170 by the end of the year.

Hindi said the rental revenues alone rose by SR34 million during the period, while its 9-month profit rose by SR28 million.

Taajeer services include purchasing of cars, machineries and real estate based on lease with the promise of ownership.

According to him, the company will post new record (profits) through the settlement of five-year bonds issued in 2008 for SR250 million that will mature in December 30, 2012. The settlement and securitization of the bonds will help in raising the company's credit level rating.

Hindi said, "The achieved profits mainly generated by the automotive sector, and the real estate (for individuals) and machinery sectors, were expected to contribute strongly in the company's results in the future."

And in order to cope with the increasing demand for leasing services from the corporate sector, Taajeer further said it will open one branch in Najran by the end of 2012, and plans to open three branches in Tabuk, Hail and Jouf next year.

On the company’s corporate social responsibility initiatives, Taajeer, in co-operation with the Traffic Department and Ministry of Education, presented safe driving program for three years to school students in Jeddah, Riyadh and Dammam, he added.-TradeArabia News Service 

Tags: Saudi | profit | Leasing |