Riyadh – Mubasher: Abdulaziz bin Ahmed Altwijri Trading Company has announced that its Board of Directors recommended withholding cash dividends to shareholders for the fiscal year ended on 31 December 2025.
The decision was finalized during a board meeting held on 2 June 2026, according to a bourse disclosure.
The non-distribution of dividends for 2025 marks a strategic move by the company to prioritize the solidification of its internal capital structure over the immediate disbursement of profits to its investor base.
The recommendation comes following a comprehensive review by the board of the company’s performance and capital requirements for the 2025 fiscal period.
Meanwhile, the board’s decision is specifically aimed at supporting and strengthening the company’s financial position. By retaining earnings that might otherwise have been allocated for dividends, the company seeks to enhance its financial flexibility and ensure a more robust balance sheet as it navigates the subsequent operational phases.
The timing of the announcement, occurring in mid-2026, aligns with the standard reporting and governance cycle for Saudi-listed entities following the conclusion of a fiscal year.
The board meeting resulted in a consensus that the long-term interests of the company and its stakeholders would be better served by reinvesting or holding onto current reserves. This approach is often utilized by companies to bolster liquidity, reduce potential debt reliance, or prepare for future strategic initiatives without seeking external financing.
In terms of corporate governance, this recommendation is not yet final and must undergo a formal approval process involving both regulatory oversight and shareholder participation.
The company has clarified that the proposal will be presented to shareholders for a formal vote during the upcoming General Assembly meeting.
The specific scheduling of this assembly is currently pending, as the company is required to coordinate with official government and regulatory authorities to obtain the necessary permissions for the meeting to take place.
It is worth noting that the board of Altwijri Trading recently proposed shares’ buyback to establish an employee stock incentive plan.
