The National Shipping Company of Saudi Arabia (Bahri), one of the world’s largest shipping and logistics companies, announced strong financial results for fiscal year 2025, with net profits rising by 8.6% to reach SAR 2.38 billion, compared to profits of SAR 2.19 billion in the previous year 2024. This growth reflects the company’s ability to adapt to global market changes and capitalize on its operational strengths.
Growth drivers and operational challenges
The company attributed this positive performance primarily to the exceptional performance of its oil transportation sector, which saw a significant increase in gross profit of SAR 755 million. This improvement was driven by a notable rise in global shipping rates and enhanced operational efficiency of the fleet. The company's investments also contributed to the profit boost, with its share of profits from equity-accounted investees increasing by SAR 134 million, highlighting the success of its long-term investment strategy.
Despite overall growth, the company faced challenges in other sectors. The chemical transportation sector saw a decrease in gross profit of SAR 324 million, and the integrated logistics sector experienced a decline in gross profit of SAR 37 million. Additionally, other income decreased by SAR 138 million, largely due to the fact that the previous year, 2024, included an exceptional capital gain of SAR 216 million from the sale of vessels, compared to only SAR 6 million in the current year, 2025. Net profit was also impacted by higher general and administrative expenses and increased financing costs.
Historical context and strategic importance of Bahri
Established in 1978, Bahri has played a pivotal role in the development of the maritime transport sector in Saudi Arabia. As the national carrier, the company boasts a large and diverse fleet, including Very Large Crude Carriers (VLCCs), chemical tankers, bulk carriers, and roll-on/roll-off vessels, making it a major player in global energy and trade markets. The company's expansion strategy aligns with the goals of Saudi Vision 2030, which aims to transform the Kingdom into a global logistics hub connecting three continents.
Local and international economic impact
Bahri’s strong financial results are a positive indicator of the resilience of the Saudi economy and the ability of its major companies to compete globally. Domestically, these profits bolster investor confidence in the Saudi Stock Exchange (Tadawul) and contribute to supporting the national economy. Regionally and internationally, Bahri’s performance, particularly in the oil shipping sector, reflects global energy demand and underscores its vital role in securing global supply chains. The company’s ability to achieve growth despite challenges in some sectors demonstrates its operational flexibility and its importance as a vital artery in global trade.
