Middle East Paper Company (MEPCO) Reports SAR 23.4 Million Net Profit for FY 2025

Middle East Paper Company (MEPCO) announced its financial results for the year ended December 31, 2025, reporting a net profit attributable to shareholders of SAR 23.4 million, a significant turnaround from a net loss of SAR 77.3 million recorded in 2024.

The company also achieved an operating profit of SAR 44.9 million in 2025, compared to an operating loss of SAR 52.5 million in the previous year. Earnings per share improved to SAR 0.27, versus a loss per share of SAR 0.89 in 2024.

MEPCO attributed this strong performance to enhanced operational efficiency and cost optimization initiatives. Key contributors included:

• A 3% reduction in cost of revenue

• A 22% decrease in selling and distribution expenses

• A 26% decline in general and administrative expenses

Additionally, the company benefited from the reversal of impairment losses on financial assets, the absence of prior-year write-offs, and a 179% increase in other operating income.

Further supporting the company’s return to profitability was a 31% reduction in zakat expense, reinforcing MEPCO’s improved financial position.

The results underscore MEPCO’s ongoing efforts to strengthen its operational performance and deliver sustainable value to shareholders.