Alandalus Profits Rise to SR19.4 mln during the 3Q, an Increase of 519%

Alandalus Property Company achieved a net profit after zakat and tax of SR19.37 million during the third quarter, compared to SR3.13 million during the same quarter of the previous year, an increase of 518.8%.

This came after Alandalus Property Co. announced on Sunday its interim financial results for the period ending on 2021-09-30 (nine months).

The operational profit amounted to SR33.32 million during the third quarter, compared to SR11.74 million during the same quarter of the previous year, an increase of 183.8 percent.

The gross profit amounted to SR37.43 million during the third quarter, compared to SR17.02 million during the same quarter of the previous year, an increase of 119.9%.

The net profit after zakat and tax during the current period amounted to SR57.55 million, compared to SR8.89 million during the same period of the previous year, a growth of 547.35%.

Profits per share during the current period amounted to SR0.62, compared to SR0.1 during the same period of the previous year.

The reason for the increase in net profit attributable to the shareholders of the company mainly attributed to:

• The increase in gross profit as a result of the increase in revenue for retail and office sectors as well as the decrease of cost of revenue of hospitality sector.
• the increase in the company’s share of income of associates.
• Impairment loss on Assets in the same quarter of the previous year.

Net profit increased despite the increase in general expenses.

The reason for the slightly increase in net profit attributable to the shareholders of the company mainly to the increase in operating profit as a result of the increase in revenue for retail sector, despite the increase of Zakat compared to previous quarter.

The reason for the increase in net profit attributable to the shareholders of the company mainly attributed to:

• The increase in gross profit as a result of the increase in revenue for retail and office sectors.
• Impairment loss on Assets amounting to 21.5 million in the same period of the previous year.
• the increase in the company’s share of income of associates, in addition to the increase of other revenue.

Net profit increased despite the increase in General expenses and Finance cost.

Certain prior period figures have been reclassified to conform with the presentation in the current period

Revenue have increased during the current period by 43% amounting to SR158.3 million, compared to 110.4 million for the same period of the previous year. This increase mainly as a result of a 41% increase in the retail sector’s revenues as a result of provision for discounts for tenants in 2020, and the office sector, which increased by 70% due to the acquisition of the office building in Riyadh.

As a result, the gross profit increased by 82% to 106.6 million during the current half, compared to 58.6 million during the same half of the previous year.

On 25 August 2021, the extraordinary general meeting approved to increase the share capital from SR 700 million to 933.3 million through the issuance of bonus shares at the rate of one share for every three shares, using retained earnings and statutory reserves.

Basic and diluted earnings per share is calculated by dividing the profit for the period attributable to the shareholders of the company by the weighted average number of ordinary shares outstanding during the period, Accordingly, the earnings per share for the comparative period were adjusted by adjusting the weighted average number of ordinary shares.

For more information, please refer to Note No. 1 and 12 in the interim financial statements for the third quarter of 2021.

The Condensed consolidated financial statements for the period ended 30th September 2021 will be available on Al-Andalus Property Website.

As well as the Investor Presentation for the same period will be available on Al-Andalus Property website and application within the Investors relations section under investors presentations.