Saudi bourse posts 37pc drop in 2013 profit
Riyadh, June 24, 2014
Saudi Stock Exchange, the Middle East's largest bourse that is planning to go public, reported a 37 per cent drop in 2013 net profit, its first ever financial disclosure showed on Tuesday.
The exchange, commonly known as Tadawul, made a net profit of 152 million riyals ($40.5 million) last year. It attributed the decline in earnings to lower revenues from reduced average daily trading volumes.
These fell to 5.5 billion riyals in 2013, from 7.7 billion riyals in the year earlier period.
Overall, the bourse's revenue dipped 21.4 percent to 346 million riyals in 2013.
The exchange said it is committed to the strategy of developing and diversifying its services for an overall boost for trading on the bourse.
Tadawul's chief executive said in May the company would be applying to undertake an initial public offering soon and will look to hire a financial adviser to manage the share sale, without specifying a timetable for the listing.-Reuters