| Element | Current quarter | Similar quarter for previous year | % Change current | Previous quarter | % Change previous |
|---|---|---|---|---|---|
| Net profit (loss) |
25,723,115.77
|
72,300,901
|
-
|
17,900,370
|
43.7
|
| Gross profit (loss) |
135,831,600.87
|
174,720,829
|
-
|
135,978,331
|
-
|
| Operational profit (loss) |
20,563,200.29
|
33,264,398
|
-
|
5,388,845
|
281.59
|
| All figures are in Saudi Arabia, Riyals | |||||
| Element | Current period | Similar period for previous year | % Change |
|---|---|---|---|
| Net profit (loss) |
109,761,213.44
|
253,138,076
|
- |
| Gross profit (loss) |
606,385,931.34
|
683,806,659
|
- |
| Operational profit (loss) |
69,144,139.82
|
177,036,633
|
- |
| Earning or loss per share, Riyals |
1.48
|
3.42
|
- |
| All figures are in Saudi Arabia, Riyals | |||
| Element | EXPLAINATION |
|---|---|
| Reasons of increase (decrease) for quarter compared with same quarter last year | Net profit decrease in general due to: A) Pharmaceutical sector mainly: a. Lower other income B) Power and Steel sector mainly: a. Lower gross margins in steel structure business related to increase in project costs, additional provisions and lower sales b. Lower gross margins for project in Iraq due to higher production costs resulting from commercial startup with lower production and sales volumes due to the ongoing political instability |
| Reasons of increase (decrease) for period compared with same period last year | Net profit decrease in general due to: A) Power and Steel sector mainly: a. Lower gross margins in steel structure business related to increase in project costs, additional provisions and lower sales b. Lower gross margins for project in Iraq due to higher production costs resulting from commercial startup with lower production and sales volumes due to the ongoing political instability B) Pharmaceutical Sector mainly: a. Decrease in other income b. Higher marketing and R&D expenses |
| Reasons of increase (decrease) for quarter compared with previous quarter | Net profit increase in general due to: A) Pharmaceutical sector mainly: a. Due to higher operating income driven by increase in sales at higher gross margins It is to be noted that gross margin for the current quarter are flat as compared to the previous quarter mainly due to reclassification of some of the operating cost from G&A to the cost of goods sold related to Power and Steel sector. Otherwise, current quarter would have shown higher gross margins as compared to the previous quarter. The reclassification impact will be reflected in the reviewed comparative financial statements for the first 3 quarters of 2015. |
| Other notes | Comparatives figures for the similar twelve months period of the last year are from Audited Financial Statements. 'Year to date sales for 2014, compared to the same period of 2013, increased from SR 1,771 Million to SR 1,913 Million. 'Financial charges have increased mainly due to a change in accounting treatment in one of group subsidiary; where the financial charges was capitalized prior to the commencement of commercial production as per IAS 23 - Borrowing costs. With reference to the company announcement dated 6th August 2014 regarding long term Islamic Banking Facility agreement signed with SABB, we would like to mention that the company has started utilizing part of the loan agreement amount above by converting existing short term loans (which were used to finance the historical / existing CAPEX) to long term loans. The company aims to continue with such plan to fully convert the remaining short term loan balance used for the historical / current CAPEX in addition to financing the future CAPEX under the above mentioned agreement. By doing so the company will be able to optimize its capital structure in order to match the expected returns associated with these CAPEX investments with the duration of the loan tenure. |
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