Makkah Construction and Development Co. posted a loss of 59 million riyals (-$15.73 mln) for 2020 as the COVID-19 pandemic dramatically limited the number of visitors and pilgrims.
The Tadawul-listed firm develops construction projects close to Masjid al-Haram in Makkah and facilities for pilgrims.
The company reported a revenue plunge of 74.21% to 123 million riyals, according to a bourse filing on Tuesday (March 9).
Its loss is a result of the drop in revenue and occupancy rates of residential rooms in the Makkah Hotel and Towers as well as the closing of shops in the mall due to COVID-19 precautionary measures.
The company will not be distributing cash dividends to shareholders this year.
Saudi authorities on Monday announced support plans for the haj and umrah sector to help it mitigate the financial and economic effects of the pandemic, including fee exemptions for pilgrims’ accommodation facilities.
Saudi Arabia closed its borders for most of last year and held haj with only 1,000 pilgrims from various nationalities who were already living in the Kingdom. 2.5 million pilgrims were scheduled to perform the annual pilgrimage last year.
Umrah was suspended from the end of February last year and re-opened to substantially limited numbers of foreign pilgrims under controlled conditions from November.