Drees Petroleum Services and Transport Company in Saudi Arabia has reported a significant 9% increase in profits during the first quarter of 2026, with profits amounting to 110.1 million SAR (equivalent to 29.3 million USD) compared to the same period last year.
The company clarified in a statement on the trading platform that this growth was due to increased sales during the current quarter, attributed to the expansion of the number of service stations and an increase in the number of trucks, in addition to growth in the sales of the "Transport" and "Petroleum" sectors.
Event Details
Drees Company reported that its financial results also benefited from an increase in bank deposit revenues and other income, as well as improved results from joint venture investments and sukuk investments. However, the company experienced an increase in selling expenses, general and administrative expenses, financing burdens, and zakat expenses.
Despite this annual growth, the company recorded a decline in profits on a quarterly basis compared to the previous quarter, affected by a decrease in sales due to seasonal demand related to Ramadan and Eid al-Fitr. Although the expansion of the station network and the increase in the number of trucks continued, the quarterly decline was notable.
Background & Context
Drees Petroleum Services and Transport Company was established in 1993, and it is one of the leading companies in the field of transport and fuel services in the Kingdom of Saudi Arabia. The company focuses on providing its services through a wide network of stations, reflecting its expansion strategy in the market.
The company is part of a vital sector in the Saudi economy, where the transport and petroleum services sector plays an important role in supporting economic growth. The expansion in the number of stations reflects the company’s commitment to meeting the increasing market needs.
Impact & Consequences
These financial results are a positive indicator of Drees Company's ability to adapt to market changes, especially under current economic conditions. However, challenges related to seasonality may affect future quarterly performance.
The company is expected to continue its expansion strategy, which may contribute to strengthening its market position and increasing its share in the transport and petroleum services sector. Additionally, the rise in bank deposit revenues may provide it with more financial flexibility in the future.
Regional Significance
Drees Company serves as a model in the Arab region, reflecting the successes of local companies in facing economic challenges. Its positive results can inspire other companies in the sector to enhance their expansion strategies.
Moreover, growth in the petroleum services and transport sector may contribute to supporting the Saudi economy and enhancing job opportunities in the region, positively impacting the social and economic levels.