Nahdi’s earnings slip on growth spending, while Bawan and SAL climb

Growth spending trims Nahdi Medical’s bottomline

Nahdi Medical’s 2Q net income fell 9.7% y-o-y to SAR 215.2 mn, even as revenue rose 5.8% y-o-y to SAR 2.7 bn, it said in a Tadawul disclosure. Gross net income rose alongside revenue, but the squeeze came further down, from the cost of expanding into healthcare and digital capabilities.

Healthcare fuels growth: Nahdi Medical’s core retail business grew a modest 4.1% in the quarter, but healthcare revenue jumped 36.9% y-o-y and regional expansion 24.6% — the segments Nahdi is investing in. That spending shows up as higher operating expenses, which weighed on operating gains and gross margins.

1H told a similar story, with net income down 8.6% y-o-y to SAR 450.9 mn while revenue was up 5.9% to SAR 5.47 bn.

Dividends: The company will distribute SAR 338 mn in dividends for 1H 2026, or SAR 2.6 per share, on 26 August, according to a separate disclosure.

Bawan’s oil and gas unit powers 2Q income surge

Bawan’s 2Q net income rose 68.9% y-o-y to SAR 53.9 mn even as revenue was near-flat at SAR 970.5 mn, it said in a Tadawul filing. Stronger oil and gas volumes and better selling prices across the plastics, metal, and wood units lifted margins, offset by weaker electrical-segment pricing.

The half went the opposite direction, and a one-off is why. Net income fell 41.5% y-o-y to SAR 105.9 mn on revenue up 6.7% to SAR 2 bn, as the year-earlier period included a SAR 126 mn noncash bargain-purchase gain from Bawan’s acquisition of an 80% stake in an oil and gas business. Excluding that, underlying 1H net income reached SAR 164 mn.

SAL Saudi Logistics Services saw 2Q earnings jump

SAL Saudi Logistics Services saw 2Q net income increase 18% y-o-y to SAR 191.4 mn, according to a Tadawul disclosure. Revenue climbed 30% y-o-y to SAR 512.1 mn, carried by the company’s cargo ground handling and logistics divisions.

The rebound in cargo volumes did most of the work. Cargo ground handling revenue rose 29.3% y-o-y as volumes recovered 9%, which the company tied to easing geopolitical disruptions to regional airspace and supply chains. Logistics revenue climbed an even faster 34.2% on expanded services, a broader customer base, and higher utilization across contract logistics and warehousing.

For 1H 2026, net income rose 10.4% y-o-y to SAR 348 mn, while revenue increased 23.1% to SAR 957.9 mn. 1H grew at a slower rate than 2Q because the first quarter included the tail end of the regional disruptions before volumes recovered in the second quarter.