2110 · 08/11/2018 08:55:36 · Announcement #52586 · View on Saudi Exchange

Saudi Cable Co. announces its interim Financial results for the period ending on 2018-09-30 ( Nine Months )

Element ListCurrent QuarterSimilar quarter for previous year%ChangePrevious Quarter% Change
Sales/Revenue 178,970314,585-43.109252,032-28.989
Total Profit (Loss) -22,04817,138--3,237581.124
Profit (Loss) Operational -49,194-17,563180.1-23,748107.15
Net Profit (Loss) after Zakat and Tax -15,710-34,493-54.454-97,240-83.844
Total Comprehensive Income -14,036-34,475-59.286-103,330-86.416
All figures are in (Thousands) Saudi Arabia, Riyals
Element ListCurrent PeriodSimilar period for previous year%Change
Sales/Revenue 706,0681,006,187-29.827
Total Profit (Loss) -25,14039,030-
Profit (Loss) Operational -102,779-66,52754.492
Net Profit (Loss) after Zakat and Tax -133,668-18,769612.174
Total Comprehensive Income -122,559-18,820551.216
Total Share Holders Equity (after deducting minority equity) 87,862281,113-68.744
Profit (Loss) per Share -3.57-0.31
All figures are in (Thousands) Saudi Arabia, Riyals
Accumulated LossesCapitalPercentage %
-15,710110,614-14.2
Element ListExplanation
Reason for increase (decrease) in net profit for current quarter compared to the same quarter of the previous year The reasons for net loss of current quarter compared with the net loss of similar quarter of last year, are mainly due to the following items included in the statement of comprehensive income:

a. Gain on disposal of subsidiary amounting to SR 47.6 million, which occurred in the current quarter.

b. Reduction in operating expenses and finance cost.

c.Lower volume in current quarter as compared to the same quarter of last year. Reason for increase (decrease) in net profit for current quarter compared to the previous quarter The reasons for net loss of current quarter compared with the net loss of previous quarter of this year, are mainly due to the following items included in the statement of comprehensive income:

a. Results from associates include one off adjustments of significant negative impact in the previous quarter as compared to the current quarter of this year.

b. Gain on disposal of subsidiary amounting to SR 47.6 million, which occurred in the current quarter.

c.Lower volume in current quarter as compared to the previous quarter of this year. Reason for increase (decrease) in net profit for current period compared to the similar period of the previous year The reasons for net loss of current period compared with the net loss of similar period of last year, are mainly due to the following items included in the statement of comprehensive income:

a. A waive off of loans totaling SR 24.99 million as compared to SR 77 million same period of last year, from one of the restructuring bank as detailed below.

b. Gain on disposal of subsidiary amounting to SR 47.6 million, which occurred in the current period.

c. Results from associates include one off adjustments of significant negative impact in the current period as compared to the same period of last year.

d. Reduction in operating expenses and finance cost.

e. Lower volume in current period as compared to the same period of last year. Type of the external auditor's opinion Qualified opinion External auditor's report containing reservation Observations resulting in qualified review conclusion

a. We were unable to obtain sufficient appropriate evidence in respect of the inventory stock count as of December 31, 2017 as we were appointed as an independent auditor after the date of the stock count. Moreover, we were unable to obtain sufficient appropriate evidence for slow moving items. In light of the above, we were unable to determine whether any adjustments to inventory were required and to determine the possible impact on the consolidated interim financial information for the period ended September 30, 2018.

b. We were unable to obtain sufficient appropriate evidence in respect of the recoverability of unbilled revenues amounted to SR 21.3 million as of September 30, 2018 (December 31, 2017: SR 20.66 million) that is overdue for more than one year. This relates to one of the subsidiaries and represents revenue earned but not billed yet as of September 30, 2018.

Qualified review conclusion

Based on our review, except for the effects of the matters described in the paragraphs mentioned above, nothing has come to our attention that causes us to believe that the accompanying interim condensed consolidated financial information were not prepared fairly, in all material respects, in accordance with IAS 34 that is endorsed in the Kingdom of Saudi Arabia. Additional Information Emphases of Matter

Without further qualifying in our opinion, we draw attention to the following:

-In accordance with the Board of Directors' decision issued on August 2, 2018, Saudi Cables Company has amortized the accumulated losses by SR 293.5 million through reducing the Company's capital. Accordingly, the Company's new capital amounted SR 110.6 million.

-The Group's current liabilities exceeded its current assets by SR 180.16 million (December 31, 2017: 304.16 million), which indicates that the Group’s inability to meet its short-term liabilities.

-Refer to note 17, The Company disposed one of its subsidiaries on August 31, 2018. Attached Documents

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