SABIC Agri-Nutrients Net Profits Skyrocketing, at 1083%

SABIC Agricultural Nutrients company net profits jumped to SR2.76 billion, during the 4th quarter, compared to SR234 million, during the same quarter of the Year 2020, or a growth rate of 1083% rise.

That is the profit after zakat and tax cuts.

This came after the announcement of the preliminary financial results for the period ending on 12-31-2121 (12-month).

The total profit amounted to SR3 billion during the 4th quarter, compared to SR358 million, during the same quarter of the previous year, a growth rate of 791%.

The total sales amounted to 4 billion riyals during the fourth quarter, compared to 768 million riyals during the same quarter of the previous year, an increase of 425%.

The net profit after zakat and tax, during the current period amounted to SR5.22 billion, compared to SR1.29 billion, during the same period last year, a decrease of 304%.

Earnings per share during the current period amounted to SR10.98, compared to SR3.11, during the same period last year.

The reason for the increase in the net profits, during the current quarter compared to the same quarter of the previous year, is due to:

An increase in the average selling prices of the company’s products.

Meanwhile the effect of this height has been limited by:

An increase in general and administrative expenses and in the provision for zakat.

Meantime, the reason for the increase in net profit during the current quarter compared to the previous quarter is due to:

An increase in the average selling prices of the company’s products.

The effect of this height has been limited by:

An increase in the cost of sales and an increase in the provision for zakat.

The reason for the increase in net profits, during the current period compared to the same period of the previous year, is also due to:

An increase in the average selling prices of the company’s products.

The effect of this height has been limited by:

High provision for idle and obsolete inventory.

An increase in general and administrative expenses and in the provision for zakat.

(As previously announced on the Saudi Stock Exchange (Tadawul) website on 01/04/2021, the company’s acquisition of all the shares in the capital of SABIC Agri-Nutrient Investments company has had a significant impact on the company’s financial statements, because of the consolidation of its financial statements, with the acquiring of the investments’ company, the company’s statement explained.

And that was in accordance with the applicable accounting policies and standards.

In addition to the foregoing, the capital was raised as a result of the acquisition, as the number of shares increased from 416,666,666 to 476,035,404 shares, and thus had considerable impact on the profitability of a share.