• The company's revenue increased by 13% compared with the same quarter of the previous year, whereas the revenue from the corporate segment increased by 26% compared to the same quarter of the previous year, due to the increase in corporate average workforce by 25% to support the revenue recognized from the new strategic contracts. Also, the revenue from hourly services (Khidmah) slightly increased in the current quarter. In contrast, the revenue from the individual segment decreased by 12% compared with the same quarter of the previous year due to the implementation of price ceilings for individual services in accordance with the new applied regulations, which led to a decrease in the average price per workforce, and due to the revenue from facilities management which decreased by 15% as the company is restructuring some of its contracts which enhances the overall performance for this sector.

• The company's main operation led by the corporate segment which has witnessed an increase in gross profit by 38% compared to the same quarter of the previous year but the gross profit was impacted as a result of the decrease in revenue in the individual segment, and was also affected by the facilities management, logistics, and home healthcare sectors that are still considered in their startup and restructuring phases. That has lead the company to achieve net growth in the gross profit by 16% compared to the same quarter of the previous year.

• The investment in associates acquired during the third quarter of previous year achieved an income of SR 14.3M during the current quarter.

• The other revenue increased by SR 3M due to the rent of the investment property and other elements.

• In contrast, The general and administrative expenses increased by 18% (SR 4.6M) compared to the same quarter of the previous year, mainly due to the hiring of the required management of the subsidiaries.

• Also, the finance cost amounted to SR 10.2M during the current quarter, mainly due to the obtained Islamic long-term loans to finance the new acquisitions that have been completed during the third quarter of the previous year.

• The income from the investment in financial instruments through profit or loss which decreased by SR 1.5M compared to the same quarter of the previous year due to reduced financial investments amount to finance the acquisitions completed in the previous year.

• The company maintained the same level of revenue compared to the previous quarter, through maintaining the same level of revenue from the corporate segment due to increase in the utilization of corporate workforce, whereas the revenue from the individual segment decreased by 4% compared to the previous quarter due to the implementation of price ceilings for individual services in accordance with applied new regulations, which led to a decrease in the average price per workforce, though the individual segment witnessed an increase in the utilization rates while maintaining the same number of resources.

• Therefore the gross profit increased by 14% compared to the previous quarter due to control of overall the cost of revenue.

• The other revenue increased by SR 1.6M due to the rent of investment property and other elements.

• In contrast, the general and administrative expenses increased by 17% (SR 4.3M) compared to the previous quarter, mainly due to the hiring of the required management of the subsidiaries.

• And the expense of doubtful debt which increased by SR 1.9M compared to the previous quarter in accordance to the expected credit loss model.

• The company's revenue increased by 17% compared with the same period of the previous year, due to the increase of the revenue from corporate segment by 31% compared to the same period of the previous year which was supported by the revenue recognized from new strategic contracts and increase in the average workforce in corporate segment. In contrast, the revenue from the individual segment and facilities management has decreased by 8% and 15% respectively compared to the same period of the previous year. The individual segment was impacted by the implementation of price ceilings in accordance with the new applied regulations, which led to a decrease in the average price per workforce, and due to the restructured contracts, that enhances the overall performance for this sector. Despite that the gross profit increased by 16% compared with the same period of the previous year.

• The investment in associates acquired during the third quarter of previous year achieved an income of SR 29.4M during the current period of the current year.

• The other revenue increased by SR 4.1M due to the rent of investment property and other elements.

• In contrast, The general and administrative expenses increased by 8% (SR 4.3M) compared to the same period of the previous year, mainly due to the hiring of the required management of the subsidiaries.

• The expenses of doubtful debt which has increased by SR 3.1M compared to the previous quarter in accordance with the expected credit loss model.

• Although, the finance cost amounted to SR 20.1M during the current period, mainly due to the obtained Islamic long-term loans to finance the new acquisitions that have been completed during the third quarter of the previous year.

• The income from the investment in financial instruments through profit or loss which decreased by SR 2.1M compared to the same period of the previous year due to reduced financial investments amount to finance the acquisitions completed in the previous year..

• Maharah Human Resources Company announces the recommendation of the Board of Directors on 22 Dhu’l-Hijjah 1444, corresponding 10 July 2023 to the Extraordinary General Assembly of the company , to split the nominal value of the share from (10) riyals per share to (1) riyal per share, and thus the number of the company's shares will become (475) million shares instead of (47.5) million shares, while keeping the company’s capital unchanged, the company's commitment to complete the necessary related procedures.

• Total equity attributable to the shareholders of the parent company in the first half of the current year amounted to SR 638.1M (SR 546.2M in the end of first half of the previous year 2022)

• A conference call with analysts and investors will be held on Tuesday 23 Aug 2023 from 3:00 PM to 4:00 PM KSA.

Details of the conference call will be available on Maharah’s website at the following link: https://www.maharah.com/investors