1 Day
Source:
الاقتصادية
_1777294237270_124456903.png&w=48&q=75){kind=small}
Tabby's and Tamara's revenues rise 82% amid credit loss impact
Tobi and Tamara, two companies specializing in "Buy Now, Pay Later" solutions in Saudi Arabia, experienced a significant increase in their revenues, growing by 82% in the second quarter of the year to reach approximately 1.1 billion SAR. This growth was accompanied by a substantial expansion in consumer financing activities. However, this growth was also associated with an increase in expected credit losses, which rose to 271 million SAR, leading to a significant increase in provisions. Currently, about 25 SAR are being set aside in provisions for every 100 SAR of revenue, up from 15 SAR a year earlier. Meanwhile, the profitability of both companies grew at a slower pace, with profit margins declining to 4%, and profit growth slowing considerably. The credit portfolio size neared 10 billion SAR, with noticeable differences in asset quality between the two firms. The expansion focus was primarily on increasing lending, despite the accompanying higher risks.
Size: 120%Text Size
Notice: This Is an AI-Generated Summary
Comments (0)