Al Masar Al Shamel Education Company, a leading private education provider in Saudi Arabia, announced strong financial results for 2025, recording net profits of SAR 130.4 million, representing a significant 8.6% increase compared to SAR 120 million in 2024. This outstanding performance reflects the success of the company's strategies and the strength of the education sector in the Kingdom.
Growth context: The education sector and Saudi Vision 2030
This growth in Al Masar Al Shamel's profits comes at a time when the Saudi education sector is undergoing a radical transformation, driven by the goals of Saudi Vision 2030, which aims to develop human capital and provide high-quality education. The Kingdom seeks to increase the private sector's contribution to education, opening up vast opportunities for specialized companies like Al Masar Al Shamel. The company is capitalizing on the increasing demand for private education, including higher education and services for people with disabilities, sectors that receive significant government support and are considered pillars of sustainable development.
Details of the company's financial performance
According to the official statement published by the company on the Saudi Stock Exchange (Tadawul) website, this increase in profits is primarily due to strong revenue growth across all its business sectors. The company explained that the successful implementation of its expansion strategy in the areas of public education, disability care, and higher education was the main driver of this growth. The statement indicated that net profit reached SAR 158.9 million, a 7% year-on-year increase for fiscal year 2025. After excluding non-recurring costs related to the initial public offering (IPO), net profit reached SAR 166.3 million, representing a 12% year-on-year increase, which underscores the company's operational efficiency and its ability to achieve sustainable growth.
Dividend payouts and investor confidence
Reflecting these positive results and management's confidence in the future, the Board of Directors of Al Masar Al Shamel Education Company has recommended the distribution of cash dividends to shareholders for the fiscal year ending December 31, 2025. The proposed distribution details include the following:
- Total amount distributed: 75 million Saudi Riyals.
- Number of shares eligible for dividends: approximately 102.4 million shares.
- Share distribution: 0.7324 riyals per share.
- Distribution ratio: Represents 7.324% of the nominal value of the share.
The company clarified that dividend entitlement will be for shareholders registered in the records of the Securities Depository Center at the close of the second trading day following the date of the company's General Assembly meeting, the date of which will be determined later after obtaining the necessary regulatory approvals. This recommendation reinforces investor confidence in the stock and underscores the company's commitment to delivering meaningful returns for its shareholders.
