Kingdom Holding profit up 10% on higher hotel revenue

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Kingdom Holding Company, the investment firm of Saudi billionaire Prince Alwaleed Bin Talal, reported a 10 percent increase in net profit to SAR391.2 million ($104.29 million) in the third quarter of 2023.

The profit was driven by an increase in hotel and other operating revenue, higher finance income, and lower withholding and income tax.

Despite this, the company reported a decline in dividend income, a rise in Zakat expenses, an increase in hotel and other operating costs, as well as administrative and marketing expenses.

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Revenue slipped 6.3 percent year on year to SAR608.18 million during the period.

Kingdom Holding’s net profit slumped 87 percent to SAR856.2 million in the first nine months of 2023, compared to SAR6.7 billion a year earlier on the increase in financial charges, higher hotel and other operating costs and a rise in general, administrative and marketing expenses.

The company signed a SAR2 billion ($530 million) joint venture last month with Red Sea Global to develop and own a Four Seasons resort at the Red Sea giga-project.

The luxury development, scheduled to open in early 2025, will be built on Shura Island, the main hub of the 22-island giga-project.