United Electronics Company “eXtra”, a leader in the retail sector in the Kingdom of Saudi Arabia, announced its financial results for the fourth quarter of 2025, which showed stability and qualitative growth in its operations, as the company’s profits increased by 0.18% to reach SAR 158.4 million, compared to SAR 158.37 million in the same period of the previous year.
Strong financial performance despite challenges and benchmarking
Financial data published on the Saudi Stock Exchange (Tadawul) website revealed that the company maintained its upward trajectory. To ensure the accuracy of the financial analysis and fair comparison, the company clarified that comparative figures have been adjusted to reflect the financial impact of the initial public offering (IPO) of United International Holding Company, which took place in December 2024. This adjustment is necessary to separate the effects of structural changes from the net profit attributable to shareholders.
In terms of operational performance, net profit before non-controlling interests reached SAR 180.9 million during the current quarter, reflecting a 1.8% increase compared to SAR 177.7 million in the same quarter of the previous year. This growth was primarily driven by higher revenues, which positively impacted gross profit, which jumped by 11.7%.
Historical profit margins and developments in the finance sector
One of the bright spots in this quarter's results is the significant improvement in the profit margin, which rose by 1.2% to 27.0%, the highest level the company has ever recorded for this quarter. Analysts attribute this achievement to the company's successful strategy of developing its sales mix within the retail sector, in addition to the strong and continued growth in the consumer finance sector, which has become a key driver of the company's profitability.
Looking at the overall annual performance for 2025, Extra recorded a net profit of SAR 493.8 million, representing a year-on-year growth of 5.6%. Excluding the financial impact of non-recurring events in 2024, such as the reversal of provisions and the collection of outstanding debts, the adjusted net profit attributable to shareholders growth rate jumps to 12%, reflecting the strength of the company's core business.
The economic context and the importance of the retail sector in the Kingdom
These results are particularly significant given the economic transformation underway in Saudi Arabia as part of Vision 2030, where the retail sector is a key driver of the diversification of the non-oil economy. Extra's performance demonstrates remarkable resilience in the face of economic fluctuations and an ability to adapt to the evolving consumption patterns of citizens and residents.
The growth in the company's consumer finance sector also reflects a growing trend towards digital and accessible financial solutions, which aligns with the Kingdom's financial sector development program. The company's ability to achieve these profits despite increased general and administrative expenses and credit loss provisions underscores its strong financial position and operational efficiency in the highly competitive Saudi market.
