Saudi Ground Services Company SJSC

Saudi Ground Services Company SJSC maintains a conservative capital structure with a debt-to-equity ratio of 0.07, indicating minimal leverage relative to its equity base of 2.57 billion SAR. The company holds 170.4 million SAR in long-term debt against total assets of 4.32 billion SAR. Liquidity is supported by a current ratio of 2.38, suggesting adequate short-term asset coverage for liabilities. However, the risk assessment flags medium liquidity risk and notes that net cash is negative after subtracting total debt, as cash and equivalents are reported at 0.0 SAR. Operating cash flow stands at 739.8 million SAR, but free cash flow is negative at -22.6 million SAR due to capital expenditures of 242.1 million SAR.

Profitability metrics show a return on equity of 15.77% and a return on assets of 9.36%, reflecting efficient use of capital to generate net income of 404.7 million SAR. The gross profit margin is approximately 22.7%, calculated from gross profit of 618.7 million SAR on revenue of 2.73 billion SAR. Operating income is 331.3 million SAR, indicating a operating margin of roughly 12.1%. Without cohort median data for direct comparison, these returns appear robust for a capital-intensive infrastructure service provider, though the negative free cash flow suggests ongoing investment requirements.

Segment and geographic revenue breakdowns are not provided in the available data, preventing analysis of revenue concentration or specific market exposures. The company’s activity is broadly defined as unclassified within the Transportation Infrastructure industry, limiting detailed operational insights.

Growth trajectory analysis is constrained by the absence of historical period data, such as five-year annual or eight-quarter quarterly revenue and net income trends. Consequently, the direction and sustainability of revenue growth cannot be assessed from the current snapshot.

Risk factors include medium liquidity risk and low dilution risk, with the primary concern being the negative net cash position. The company has 188 million shares outstanding, with no difference between basic and diluted shares, indicating no immediate dilution from options or convertible securities. The key flag of negative net cash after debt subtraction highlights a reliance on operating cash flow to service debt and fund operations.

Recent events include analyst estimates with a mean price target of 43.95 SAR and a median target of 44.45 SAR, reflecting a moderate bullish sentiment. The mean recommendation is 2.25, with three buy ratings and one hold rating, but no strong buy ratings. The price target range spans from 33.00 SAR to 53.90 SAR, indicating varying analyst expectations.

Analysts project 40.3% upside to a mean price target of 43.95 SAR, reflecting strong buy consensus.

Revenue grew at a 14.1% CAGR over four years, demonstrating consistent top-line expansion momentum.

Debt-to-equity ratio of 0.07 is well below the cohort median of 0.40, signaling a conservative capital structure.

Revenue growth slowed to just 1.7% year-over-year in FY2026, suggesting diminishing top-line momentum.

The company faces medium liquidity risk, which could constrain operational flexibility or dividend sustainability.

Revenue SAR 685.9M, +1,5% YoY; Operating income −59,6% YoY.

• ▍Revenue SAR 685.9M, +1,5% YoY
• ▍Operating income −59,6% YoY
• ▍Net income +10,9% YoY
• ▍Free cash flow −300,4% YoY
• ▍Net margin 15.5%

Revenue SAR 683.4M, +2,2% YoY; Operating income +31,6% YoY.

• ▍Revenue SAR 683.4M, +2,2% YoY
• ▍Operating income +31,6% YoY
• ▍Net income +24,3% YoY
• ▍Free cash flow +181,8% YoY
• ▍Net margin 14.9%

Revenue SAR 688.9M, +0,3% YoY; Operating income +33,5% YoY.

• ▍Revenue SAR 688.9M, +0,3% YoY
• ▍Operating income +33,5% YoY
• ▍Net income +26,7% YoY
• ▍Free cash flow +1,3% YoY
• ▍Net margin 14.4%

Revenue SAR 671.5M; Operating income SAR 97.1M.

• ▍Revenue SAR 671.5M
• ▍Operating income SAR 97.1M
• ▍Net margin 14.5%

Revenue SAR 675.5M; Operating income SAR 95.8M.

• ▍Revenue SAR 675.5M
• ▍Operating income SAR 95.8M
• ▍Net margin 14.2%

Revenue SAR 668.6M; Operating income SAR 74.8M.

• ▍Revenue SAR 668.6M
• ▍Operating income SAR 74.8M
• ▍Net margin 12.2%

Revenue SAR 686.5M; Operating income SAR 72.8M.

• ▍Revenue SAR 686.5M
• ▍Operating income SAR 72.8M
• ▍Net margin 11.4%

Revenue SAR 2.73B, +1,7% YoY; Operating income +4,0% YoY.

• ▍Revenue SAR 2.73B, +1,7% YoY
• ▍Operating income +4,0% YoY
• ▍Net income +23,8% YoY
• ▍Free cash flow −115,4% YoY
• ▍Net margin 14.8%

Revenue SAR 2.68B, +9,2% YoY; Operating income +39,6% YoY.

• ▍Revenue SAR 2.68B, +9,2% YoY
• ▍Operating income +39,6% YoY
• ▍Net income +54,6% YoY
• ▍Free cash flow −41,7% YoY
• ▍Net margin 12.2%

Revenue SAR 2.46B, +24,4% YoY; Operating income +290,7% YoY.

• ▍Revenue SAR 2.46B, +24,4% YoY
• ▍Operating income +290,7% YoY
• ▍Net income +186,5% YoY
• ▍Free cash flow +303,0% YoY
• ▍Net margin 8.6%

Revenue SAR 1.98B, +23,0% YoY; Operating income +29,6% YoY.

• ▍Revenue SAR 1.98B, +23,0% YoY
• ▍Operating income +29,6% YoY
• ▍Net income +3,9% YoY
• ▍Free cash flow +34,0% YoY
• ▍Net margin -12.4%

Revenue SAR 1.61B; Operating income -SAR 170.0M.

• ▍Revenue SAR 1.61B
• ▍Operating income -SAR 170.0M
• ▍Net margin -15.8%