Rasan Information Technology Co. announces its Interim Financial results for the Period Ending on 2024-09-30 ( Nine Months )

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Sales/Revenue	110,000	78,265	40.548	63,525	73.16
Gross Profit (Loss)	67,370	46,909	43.618	37,434	79.97
Operational Profit (Loss)	35,299	29,176	20.986	11,758	200.212
Net profit (Loss)	36,647	28,401	29.034	8,819	315.545
Total Comprehensive Income	36,373	28,400	28.073	8,033	352.794
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Sales/Revenue	240,459	186,389	29.009
Gross Profit (Loss)	144,846	109,356	32.453
Operational Profit (Loss)	56,994	38,642	47.492
Net profit (Loss)	54,939	36,000	52.608
Total Comprehensive Income	58,435	36,508	60.06
Total Shareholders Equity (after Deducting Minority Equity)	371,086	120,994	206.697
Profit (Loss) per Share	0.75	0.51
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Amount	Percentage of the capital (%)
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value	-	-
All figures are in (Thousands) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the same quarter of the last year is	Sales/revenue increased by 40.5% during the third quarter compared to the same period last year, due to the following reasons:

- The launch of several new products this year, and launching new products during the 3rd quarter like the comprehinsive insurance for leased vehicles through Tameeni.

- An increase in the number of insurance policies sold compared to the same period last year.The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is Net profits increased by 29% during the third quarter of this year compared to the same period last year, due to the following reasons:

- An increase in the gross profit margin by 130 basis points (61.2% during the third quarter of 2024 compared to 59.9% during the third quarter of 2023), driven by enhanced operational efficiency.

- Growth in operating profits by 21% compared to the same period last year.

- An increase in earnings before interest, taxes, depreciation, and amortization (EBITDA) by 19.3% compared to the previous year, driven by revenue growth, increased operational efficiency, and overall improvements in operations.The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the previous one is The 73% increase in revenue during the third quarter compared to the previous quarter mainly due to the effective marketing campaigns, retention of existing customers through policies' renewals and onboarding new customers. And historically, the company's revenues' in the second half of the year is higher than the first half in the past years. Also, the launch of the new products contributed in revenues increase.The reason of the increase (decrease) in the net profit (loss) during the current quarter compared to the previous one is The net profit increased by 315.5% in the third quarter of 2024 compared to the previous quarter due to the following reasons:

- An increase of the sold policies by 78%.

- Focusing on customers' retention and policies' renewals.

- Launching new products with a higher profit margin.The reason of the increase (decrease) in the sales/ revenues during the current period compared to the same period of the last year is The revenue increased by 29% during the 9 months period of 2024 compared to the same period last year, primarily due to the following reasons:

- A 30% increase in the number of insurance policies sold compared to the same period last year.

- The launch of several new products this year, and launching new products during the 3rd quarter like the comprehinsive insurance for leased vehicles through Tameeni.

- An increase in the policy renewal rate for last year's customers.

This increase in revenue comes despite a decrease in the average price of insurance policies by approximately 28% compared to the same period last year.The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is The net profit increased by 52.6% compared to the same period last year due to the following reasons:

- An increase in gross profit by 32.5% compared to last year, with a profit margin of 60.2% compared to 58.7% during the same period last year, resulting from enhanced operational efficiency and reduced sales costs.

- Growth in operating profits by 47.5% compared to the same period last year.

- A significant increase in earnings before interest, taxes, depreciation, and amortization (EBITDA), which rose by 40.6% compared to last year, achieving a record margin of 28.2% compared to 25.9% during the 9 months of 2023.Statement of the type of external auditor's report Unmodified conclusionComment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion) NoReclassification of Comparison Items NoAdditional Information The company would like to invite its respective shareholders and financial analyst to attend a conference call for discussing the financial results for the period ending with 30/09/2024. The call is scheduled to be on Monday, the 28th of October 2024 at 4 PM Saudi Time. At the end of the call, there will be an interactive Q&A session.

For further details of the call including the registration link, kindly check the attachment or contact the investor relations through investors@rasan.co .Attached Documents

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