Jadwa REIT Al Haramain Fund’s QQ4 2024 results demonstrate sustained profitability and robust cash generation despite a headline revenue decline on a year-over-year and quarter-over-quarter basis. Revenue for Q4 2024 was SAR 13.68 million, down 26.7% year-over-year and 52.3% quarter-over-quarter, reflecting the cyclical nature of pilgrimage-driven occupancy and seasonal demand in the Holy Cities. Notwithstanding the revenue decline, EBITDA reached SAR 11.06 million, yielding an EBITDA margin of approximately 80.9%, while operating income stood at SAR 5.62 million with a 41.1% operating margin. Net income totaled SAR 7.47 million, delivering a net margin of about 54.6% for the quarter, signaling effective cost management and a favorable mix of recurring and non-recurring income sources.
Key cash flow and capital structure dynamics shape the near-term investment thesis. Operating cash flow was SAR 13.32 million for the period, supported by depreciation of SAR 5.44 million and a sizable working capital movement (positive), while the company paid SAR 13.2 million in dividends and benefited from a significant foreign exchange gain of SAR 20.0 million, producing a net cash increase of SAR 20.12 million and ending cash of SAR 24.63 million. The balance sheet shows total assets of SAR 725.3 million, total equity of SAR 500.3 million, and long-term debt of SAR 214.6 million (net debt SAR 189.98 million). This positions the fund with meaningful leverage to support asset ownership in the Holy Cities, but also underscores sensitivity to occupancy cycles and refinancing risk.
From a strategic perspective, the fund maintains its stated double-yearly cash-distribution policy (at least 90% of net profit excluding capital gains) and continues to benefit from a Shariah-compliant, closed-end architecture managed by Jadwa Investment. The QQ4 results reinforce a narrative of earnings resilience amid cyclicality, but investors should monitor occupancy trends, ADR/RevPAR progression, and refinancing needs in 2025 as the Holy City tourism base stabilizes post-pandemic.