Naseej reports SR5.5 mln profits in 2Q

Naseej International Trading Co announced achieving profits of SR 5.5 million after zakat and tax in the second quarter of 2022 compared to losses of SR 5.02 million during the same period of 2021.

This came after Naseej announcement on Thursday of the preliminary financial results for the period ending on 30.06.2022 (six months).

The company reported operational profits of SR 9.2 during the 2^ndquarter of the current year from operational losses of SR 1.3 million in the same period of the previous year.

Net Profits of Naseej over the first half of 2022 were SR 11.9 million against losses of SR 10.3 million a year ago, while the profit per share was SR 0.57 from loss per share at SR 1.67.

The reason for achieving net profits during the current quarter compared to the same quarter of the previous year is due to an increase in sales by 6% and an increase in gross profit by 64%, due to raising production rates, opening new production lines, benefiting from the provision for slow-moving and obsolete inventory and lower operating expenses.

The reason for the decrease in net profit during the current quarter compared to the previous quarter is due to the decrease in sales and the increase in the cost of raw materials.

The reason for achieving a net profit during the current period compared to the same period of the previous year is due to higher sales and lower costs.

– additional information:

– Naseej Company would like to clarify that calculating the share of profits for the current period is based on the number of shares of 21.163 million shares, as for calculating the share of loss for the same period of the previous year based on the number of shares of 6.163 million shares.

– The company would like to clarify that the financial results for the current period are based on a capital of 211,632,010 riyals and that there is a subsequent event, which is the approval of the extraordinary general assembly to reduce the capital, as it agreed in its meeting held on July 18, 2022 AD to reduce the company’s capital from 211,632,010 riyals to 108,973,010 Therefore, the accumulated losses were amortized and reduced to 0% of the capital on July 19, 2022 AD, and what was announced on the Tadawul website on August 1, 2022 AD.

The company would like to draw attention to Clarification No. (1/11) – Subsequent events, that the attached clarifications about the financial statements regarding the approval of shareholders in the Extraordinary General Assembly that was held on July 18, 2022 AD to reduce the company’s capital from 211.6 million riyals to SR 108.9 million.