Thoub Al-Aseel profits fell to SR3.58 million during 3Q, down 39%

Thob Al Aseel Company net profit after zakat and taxes for decreased toSR 3.58 million during the third quarter, compared to SR5.92 million during the same quarter of the previous year, at a rate of 39.53%.

This came after Thoub Al-Aseel Company announced its condensed consolidated interim financial results for the period ended in 30th September 2021 (nine months).

The operational profit amounted to SR8.13 million during the third quarter, compared to SR10.72 million during the same quarter of the previous year, a decrease of 24.16%.

The gross profit amounted to SR30.65 million during the third quarter, compared to SR31.57 million during the same quarter of the previous year, a decrease of 2.9%.

The net profit after zakat and tax during the current period amounted to SR52.37 million, compared to SR75.47 million during the same period of the previous year, a decrease of 31%.

Profits per share during the current period amounted to SR1.73, compared to SR2.53 during the same period of the previous year.

The reason for the 39.53% decrease in net profit for the Third quarter of the current year compared to the same quarter of the previous year is mainly due to decrease in sales by 24.30% is due to signing of a contract for the supplying of medical supplies during the same quarter of the previous year. This is in addition to taking advantage during the same quarter of the previous year of government initiatives to mitigate the effects of the COVID-19.

The reason of the decrease in the net profit during for the third quarter of the current year compared to the previous quarter, by 89.62% mainly due to the decrease in sales, Resulted from seasonality of activity and the coinciding of the previous quarter with the holy month of Ramadan.

The reason for the 31.31% decrease in net profit during the period ending on September 30, 2021 (Nine months) compared to the similar period of the previous year to the decreased sales due to the signing of a contract for the supplying of medical supplies during the similar Period of the previous year. This is in addition to the increased expenses of selling and marketing for the current period. This is due to increased spending on promotional activities as well as the positive effect of government initiatives on net profit during the Similar Period of the previous year.

The company said that the consolidated financial statements for the three-months and nine -month ended 30th September 2021 will be available on the investor relations app for Al-Aseel Smart Phones and Tablets, and through the company’s website at the following link http://www.alaseel.com.sa/investor, after sending it to the competent authorities.