SIDC Losses Increased to SR5.7 Million during the 3Q by 322%

The losses of the Saudi Industrial Development Company “SIDC” after zakat and tax increased to SR5.74 million during the 3Q, compared to losses of SR1.36 million during the same quarter of the previous year, an increase of 322.1%.

This came after SIDC announced on Monday its interim financial results for the period ending on 30-09-2021(Nine Months).

The operational loss amounted to SR7.29 million during the 3Q, compared to losses of SR2.21 million during the same quarter of the previous year, an increase of 229.8%.

The gross profit amounted to SR4.22 million during the 3Q, compared to SR8.23 million during the same quarter of the previous year, a decrease of 48.7%.

The net loss after zakat and tax during the current period amounted to SR11.8 million, compared to a loss of SR2.71 million during the same period of the previous year, a growth of 335.4%.

The loss per share during the current period amounted to SR0.3, compared to a loss of SR0.07 during the same period of the previous year.

The reason for the net loss of the company during the 3Q of 2021 compared to the 3Q of the previous year 2020 is due to the decrease in sales and increase in operational expenses.

The reason for increasing net loss of the company during the 3Q of 2021 compared to the previous quarter of the current year is due to the decrease in sales and increase in operational expenses.

The reason for increasing net loss of the company during the first nine months of 2021 compared to the same period of the previous year 2020 is due to the increase in operational expenses.

The company said: “We want to refer to the case filed by the company, in which a former partner in the subsidiary company demands financial compensation in exchange for excesses and financial dues, according to the ruling issued by the Executive Court to compensate the company with amount equivalent to approximately SR15,193,873”.

Certain prior year figures have been reclassified to conform to the current year presentation, it added.

According to Note No. (21), these adjustments represent the reclassification of the change in the fair value of investments from financial assets at fair value through profit or loss to financial assets at fair value through other comprehensive income to conform to the audited financial statements for the year ended December 31, 2020.

As a result of this settlement, the net profit for the same period (three months) of the previous year was adjusted from SR5.14 million net profit to SR1.36 million net loss.

The net profit for the same period (nine months) of the previous year was also adjusted from SR0.54 million net loss to SR2.71 million net loss.