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Yemen made a strong start, with Haroun Al-Zubaidi opening the scoring in the 14th minute, followed by Abdul Majeed Sabara's second goal in the 27th minute.
Saudi Arabia responded quickly with Mohammed Kano reducing the gap to 2-1 in the 30th minute. Musab Al-Juwair then equalized with a penalty in the 57th minute.
In a dramatic finish, Abdul Hamdan scored the winning goal for Saudi Arabia in the 93rd minute, sealing a 3-2 victory.
Despite the early lead, Yemen remains without points in the tournament, having also lost to Iraq in the first round.