What was Saudi Pharmaceutical's net profit in Q1 2026?

Net profit was SAR 65.1 million, down 8.05% year-on-year.

What was the company's revenue in Q1 2026?

Revenue was SAR 423.8 million, down 12.58% year-on-year.

What caused the YoY net profit decline?

The decline was due to higher impairment provisions, lower other income from non-recurring asset sale gains, and higher zakat and tax expenses.

How did the company perform compared to the previous quarter?

Performance improved significantly, with revenue up 4.44% and net profit surging 67.78%.

Does the company have accumulated losses?

No, the company reported no accumulated losses, with total shareholders' equity of SAR 1,660.7 million, up 13.79% year-on-year.

Saudi Pharmaceutical Q1 2026 Net Profit Falls 8% to SAR 65.1M

Saudi Pharmaceutical Industries and Medical Appliances Corp. (2070) announced its Q1 2026 financial results, posting a net profit of SAR 65.1 million, down 8.05% year-on-year, while revenue fell 12.58% to SAR 423.8 million. Sequentially, net profit jumped 67.78%.

Saudi Pharmaceutical Industries and Medical Appliances Corp. (Ticker: 2070) reported its interim financial results for the three months ended March 31, 2026. Net profit reached SAR 65.1 million, down 8.05% year-on-year, while revenue declined 12.58% to SAR 423.8 million. The stock's reaction has not been disclosed yet.

Key Financial Results

Item	Current Quarter (SAR M)	Prior Year Quarter (SAR M)	Change %	Previous Quarter (SAR M)	Change %
Revenue	423.8	484.8	-12.58%	405.8	+4.44%
Net Profit	65.1	70.8	-8.05%	38.8	+67.78%
Gross Profit	236.1	—	—	—	—

Key Highlights from the Statement

The YoY revenue decline was primarily due to a 33% drop in private sales (SAR 90 million), partially offset by a 28% increase in international and government sales (SAR 31 million).
Net profit YoY decline was driven by a SAR 4.2 million increase in impairment provisions, an 82% drop in other income (SAR 17.9 million) due to non-recurring gains from asset disposals in the prior year, and a 311% rise in zakat and tax expenses (SAR 14.2 million).
Sequentially, revenue grew 4.44% driven by a 103% surge in government sales (SAR 56.2 million).
Net profit jumped 67.78% QoQ due to 14% gross profit growth and a 14% reduction in selling and marketing expenses.

Guidance

The company did not provide any forward guidance.

Impact on the Stock

The stock's reaction is pending. The YoY earnings decline may weigh on sentiment, but the strong sequential improvement could provide support.

What This Means for Investors

The results show a significant sequential improvement in profitability driven by government contracts and cost optimization. However, the YoY decline in revenue and net profit highlights ongoing challenges in the private sales segment. Investors should monitor the sustainability of government contract revenues and the recovery of private sales.