of Al-Drees Petroleum and Transport Services Company (Al-Drees) issued an important recommendation at its meeting held yesterday, stipulating the distribution of generous cash dividends to the company’s shareholders for the year 2025, in a step that reflects the company’s continued strong financial performance and its commitment to its investors.
Details of cash distributions and share allocation
The company clarified in an official statement published on the Saudi Stock Exchange (Tadawul) website that the total amount recommended for distribution is SAR 200 million . This distribution targets 100 million shares eligible for dividends. Based on these figures, the dividend per share is SAR 2 , representing a distribution rate of 20% of the share's nominal value.
Due date and distribution mechanism
Regarding dividend entitlement, Al-Drees confirmed that entitlement will be for shareholders who own shares at the close of trading on the day of the company's general assembly meeting and are registered in the company's shareholder register at the Securities Depository Center Company (Edaa) at the end of the second trading day following the meeting. The company indicated that the date of the general assembly meeting and the dividend payment date will be announced later.
Al-Drees' position in the energy and logistics sector
This recommendation comes in light of Al-Drees Company's established position in the Saudi market, where it is one of the leading companies operating in the petroleum services and transportation retail sector. The company boasts an extensive network of stations spread across various regions of the Kingdom, in addition to a large logistics fleet serving multiple sectors. This geographical and operational reach enhances the company's ability to generate sustainable cash flows, enabling it to maintain its policy of distributing periodic dividends.
The decision's repercussions on the stock market and the local economy
The announcement of dividend distribution carries significant positive implications for investors in the Saudi Stock Exchange (Tadawul). On the one hand, it confirms the company's financial soundness and strong financial position in the face of economic challenges, and on the other hand, it reinforces shareholder confidence in the board of directors' strategy. Consistent cash distributions are a crucial factor in attracting institutional and individual investments, as investors always seek companies that provide stable annual returns alongside growth in market capitalization.
Furthermore, Al-Drees' performance aligns with the remarkable growth in Saudi Arabia's non-oil and services sectors, supported by the country's economic dynamism. The continued dividend payout is a healthy indicator of the vitality of the logistics and energy sector, and its effective contribution to GDP and the stimulation of the economic cycle.
