Executive Summary
Ladun Investment Company reported a compelling revenue surge in QQ4 2024, with revenue of SAR 858.5 million, up 119.0% year-over-year and 165.5% quarter-over-quarter, supported by a notable escalation in activity within its real estate development portfolio. Despite a robust top line, gross margin compressed to 15.6% and operating margin to 6.2%, resulting in a net margin of 3.4% and net income of SAR 29.3 million. Earnings per share stood at SAR 0.0586, reflecting improved profitability on a per-share basis but a moderate margin profile given the scale of revenue growth. Free cash flow remained negative at SAR -7.5 million for QQ4 2024, driven by capital expenditure and working capital dynamics, while cash from operations was modest at SAR 2.1 million. The company ended QQ4 with SAR 103.3 million of cash and cash equivalents and a total debt load of SAR 1.20 billion, yielding a net debt position of SAR 1.10 billion and a debt-to-equity ratio of 1.89, underscoring leverage risk in a capital-intensive development cycle. Equity stood at SAR 634.9 million, producing a return on equity of approximately 4.6% for the quarter, and a return on assets of about 0.97%. The quarter’s results imply meaningful scale-up in activity, but margins and free cash flow remain areas to monitor as project execution and capital deployment unfold.
Key Performance Indicators
QoQ: 165.48% | YoY:119.04%
Key Insights
Revenue: SAR 858,513,412; YoY +119.04%; QoQ +165.48%; Gross Profit: SAR 134,187,400; Gross Margin: 15.63%; EBITDA: SAR 70,176,048; EBITDA Margin: 8.17%; Operating Income: SAR 52,910,274; Operating Margin: 6.16%; Net Income: SAR 29,298,774; Net Margin: 3.41%; EPS: SAR 0.0586; Diluted EPS: SAR 0.0586; Cash Flow from Operations: SAR 2,104,095; Capex: SAR -9,599,025; Free Cash Flow: SAR -7,494,930; Net Change in Cash: SAR 34,788,306; Cash at End of Period: SAR 103,329,941; Total Debt: SAR 1,201,846,...
Financial Highlights
Revenue: SAR 858,513,412; YoY +119.04%; QoQ +165.48%; Gross Profit: SAR 134,187,400; Gross Margin: 15.63%; EBITDA: SAR 70,176,048; EBITDA Margin: 8.17%; Operating Income: SAR 52,910,274; Operating Margin: 6.16%; Net Income: SAR 29,298,774; Net Margin: 3.41%; EPS: SAR 0.0586; Diluted EPS: SAR 0.0586; Cash Flow from Operations: SAR 2,104,095; Capex: SAR -9,599,025; Free Cash Flow: SAR -7,494,930; Net Change in Cash: SAR 34,788,306; Cash at End of Period: SAR 103,329,941; Total Debt: SAR 1,201,846,006; Net Debt: SAR 1,098,516,065; Debt to Equity: 1.893x; Debt to Capitalization: 0.654x; ROE: 4.61%; ROA: 0.97%; Asset Turnover: 0.285x; Fixed Asset Turnover: 7.79x; Receivables Turnover: 0.473x; Days Sales Outstanding (DSO): 190.14 days; Payout Ratio: 0.341; Dividend Yield: 0.554%; Price-to-Book: 2.84; Price-to-Sales: 2.10; Price-to-Earnings: 15.40; Net Debt to EBITDA not disclosed; Operating Cash Flow per Share: SAR 0.00421; Free Cash Flow per Share: SAR -0.0150; Cash per Share: SAR 0.268.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
858.51M |
119.04% |
165.48% |
| Gross Profit |
134.19M |
78.59% |
94.77% |
| Operating Income |
52.91M |
24.07% |
93.81% |
| Net Income |
29.30M |
61.90% |
80.69% |
| EPS |
0.06 |
61.88% |
80.86% |
Key Financial Ratios
operatingProfitMargin
6.16%
operatingCashFlowPerShare
$0
freeCashFlowPerShare
$-0.02
dividendPayoutRatio
34.1%
Management Commentary
Transcript data not provided in the dataset. As a result, direct management quotes and call-by-call themes could not be extracted. If a transcript is supplied, expected themes would typically cover: (1) strategy and pipeline execution (project backlog, monetization milestones, partner collaborations), (2) cost control and efficiency improvements (SG&A and project-related overhead), (3) market conditions in Saudi real estate (demand signals, pricing, regulatory environment), and (4) capital allocation and funding plans (debt management, equity needs, and potential asset recycling). These themes would inform the significance of the observed revenue surge, margin dynamics, and debt posture.
Transcript data not available.
— N/A
Transcript data not available.
— N/A
Forward Guidance
No explicit forward guidance was provided in the QQ4 2024 data. Inference-based outlook anchors on Saudi Vision 2030-driven real estate activity and Ladun’s development pipeline. Potential drivers include: (i) scaling of project completions and milestone-based revenue recognition, (ii) monetization strategies for existing assets and partnerships, (iii) ability to secure favorable debt terms to fund capex and working capital needs, and (iv) macro real estate demand in key Saudi markets. Risks include execution delays, rising input costs, and sensitivity to interest rates and liquidity conditions. Investors should monitor pipeline win rates, project milestone schedules, capex plans, contract receivables trends, and debt maturities as key indicators of trajectory.