Al-Babtain Chairman: Bulk of backlog projects to impact revenue in 15 months

Résumé détaillé

Ibrahim Al-Babtain, Chairman of Al-Babtain Power and Telecommunication Co., said the company's total contracted but unexecuted work reached approximately SAR 3.2 billion at the…

Ibrahim Al-Babtain, Chairman of Al-Babtain Power and Telecommunication Co.

Ibrahim Al-Babtain, Chairman of Al-Babtain Power and Telecommunication Co., said the company's backlog reached about SAR 3.2 billion as of Sept. 30, 2026, while new contracts awarded year-to-date amounted to nearly SAR 2.5 billion.

In an interview with Argaam, Al-Babtain explained that the growth in backlog reflects the company's ability to replace completed projects with new contracts. He expects most of backlog to be reflected in revenue over the next 12 to 15 months, depending on project execution schedules.

Regarding contracts for the design, manufacturing, and supply of electricity transmission towers signed by the company with several contractors in November 2024 and February 2025, totaling SAR 1.79 billion. Most of the work is complete, while the remainder is being finalized as planned. He noted that the company continues to participate in tenders and secure new contracts to replace completed projects.

Net profit attributable to shareholders, according to the top executive, rose 16.7% in Q3 2026 to SAR 148.5 million, while revenue increased 1.5% to SAR 788.5 million. He indicated that this reflected an improvement in the company's operational efficiency, supported by an elevated gross profit margin of 25.2%, lower general, administrative, and selling expenses, and softer financing costs.

The company’s 9M 2026 gross profit margin improved from 23.6% to 25.3%. Current margins reflect a favorable project mix, although they may fluctuate in the coming periods depending on project types and raw material price volatility, amid continued supply chain disruptions and higher shipping and insurance costs. The company continues to focus on operational efficiency and cost control, according to the top official.

He also highlighted that Q3 2026 revenue was on par with the Q1 and Q2 average topline, noting that quarterly revenue is inherently affected by project delivery timing.

The company's revenue grew…

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