Jazan profits increase to SR13 mln by end of 2021, by 23%

Jazan Energy and Development Company recorded a net profit after zakat and tax of SR13.3 million in the year 2021, compared to SR10.8 million in the year before last, with a growth of 23.1%.

This came after Jazan announcement on Thursday of the annual financial results ending on 31.12.2021.

The operational profit in the current year amounted to SR 11.8 million, compared to SR8.5 million in the previous year, an increase of 39.7%.

The gross profit in the current year amounted to SR40.72 million, compared to SR30.8 million in the previous year, at a rate of 32.2%.

Profits per share increase in the current year to SR0.27, compared to SR0.22 in the previous year.

The total shareholders’ equity “without minority rights” amounted to SR544.2 million in the current year, compared to SR523 million in the previous year, an increase of 3.8%.

The increase in net profit during 2021 compared to last year is a result of rising production effectiveness to reduce and control costs. Also, penetrate new international markets for aquaculture products, improve the aquaculture practice, improve the shrimp’s production, and increase production by 13% compared to last year. The company has applied new methods for sales and marketing.

Consequently, the initiatives have contributed to achieving the following:

1. Increase in shrimp sales.
2. Increase in real estate revenue.
3. Gains from subsidiary (Mango Jazan Company)

The investment in one of the associate companies was evaluated on December 31, 2021 based on administrative financial statements due to the audited financial statements were not issued as mentioned in note No. (11) of the attached notes of the financial statements, and we were unable to perform alternative audit procedures to verify the accuracy and evaluation of that investment.

The company has achieved the highest net income since 2020 due to the growth in sales and the restructuring of the company, which facilitates in maintain costs within reason. In addition, the company in 2021 invested in improving the efficiency and production of the shrimp farm which led to 13% growth in production in comparison to year 2020.