Saudi Arabia’s Seera Group Holding has reported a 47 per cent increase in revenue to SR1.328 billion ($354 million) for the year 2021, compared to SR904 million in 2020. The company generated a net loss after zakat (before non controlling interest) of SR378 million as compared to net profit after zakat (before non controlling interest) of SR11 million during the previous year primarily due to exceptional gain on sale from Careem Investment in 2020. Profits in 2021 are depressed due to lower volumes as a result of Covid-19 travel restrictions.
2021 was marked by the partial resumption of international travel and strong continuation of domestic travel popularity as Seera Group has seen financial growth across the vast majority of its portfolio verticals, a positive uplift from 2020, predominantly during the second half of 2021, the company said.
The group’s gross booking value, net of refunds (GBV) increased by 30 per cent for the year 2021 to SR4.8 billion vs SR3.7 billion FY 2020 which was a testament to the combined efforts of international governments and the travel ecosystem on the road to recovery post-pandemic.
Q4 2021 showed a particularly positive trend on revenue with recovery relative to 2020 greater than 114 per cent for SR487 million in Q4 2021 vs SR228 million in Q4 2020. The growth is driven largely by partial opening of KSA borders for international travel for vaccinated citizens and residents which allowed for the resumption of travel across borders, relaxed quarantine requirements and easing of restrictions on entry and entertainment & leisure activities.
Seera’s Car Rental unit, Lumi, has continued its positive trajectory from 2020, as the unit’s revenue has grown 20 per cent from SR423 million in 2020 to SR507 million, fuelled by the launch of a state-of-the-art mobile app and large-scale leasing contracts secured.
As part of Seera’s efforts to streamline operations for scalability and performance, the Consumer Travel and Business Travel businesses were merged under one unit at the end of 2021, to realise efficiencies and leverage the strength of the Almosafer brand equity and platform.
With reopening of borders, Seera’s travel businesses under Almosafer have experienced steady recovery throughout 2021, achieving 42 per cent growth of SR3.4 billion in 2021 vs SR2.4 billion in 2020, with a distinctly strong Q4 consumer segment showcasing GBV that has surpassed 2020 numbers as overall.
The Consumer Business grew 64 per cent from SR1.1 billion in 2020 to SR1.8 billion in GBV by end of 2021 , as a result of its successful omni-channel strategy, digital enhancements and further gain of market share. Almosafer Business (formerly elaa), the group’s Corporate & Government Travel Management Business, grew at a stable rate of 23 per cent from SR1.3 billion in 2020 to SR1.6 billion in 2021 as the business continues to retain some of the largest and most prestigious clients in the government and semi-government sectors.
