Al Othaim Markets profits down 3% to SR46.6 mln in Q2‎

Abdullah Al-Othaim Markets Co. revealed a decrease in net profit after zakat and tax in the second quarter to SR 46.6 million, compared to SR 47.9 million in the same quarter of last year, at a rate of 2.7%, this came after today’s announcement of the preliminary financial results for the period ending in 2022- 06-30 (six months).

The operational profit amounted to SR 57.3 million in the second quarter, compared to SR 56.02 million in the same quarter of the previous year, an increase of 2.4%.

The net profit after zakat and tax in the 6-month period amounted to SR 137.9 million, compared to SR 105.6 million in the same period last year, a growth of 30.6%.

The total shareholders’ equity “without minority rights” amounted to 1.32 billion riyals in the current period, compared to 1.35 billion riyals in the same period last year, down 2.5%.

Profits per share in the current period reached SR 1.53, compared to SR 1.17 in the same period last year.

“The occurrence of the Ramadan season in the first quarter of this year, while in the previous year the season occurred in the second quarter. Despite this, sales grew by 3.83% and the gross margin improved. In addition, the selling and distribution expenses have increased driven by the new stores, and the general and administrative expenses have increased due to enhancing competencies in the senior positions.

The real estate performance has improved, and the company recorded its share of the profits of the Gulf Flour Milling Company for the second quarter, while it was not recorded in the corresponding quarter. On the other hand, the company stopped recognizing its share of the profits of Abdullah Al-Othaim Investment Company pursuant to the Board of Directors resolution to approve the sale of this investment.”

Sales decline by 8.44% as a result of the occurrence of Ramadan season in the first quarter this year, in addition to the derecognition of the Company share of the profits of Abdullah Al-Othaim Investment Company pursuant to the Board of Directors resolution to approve the sale of this investment, despite of the improvement of the gross margin and the improvement of the performance of the real estate activity.

Sales growth by 10.51% and the improvement in gross margin. In addition, The Company recorded its share in the profits of the Gulf Flour Milling Company for this period, while it was not recorded in the corresponding period. Despite of the increase in the selling and distribution expenses driven by the new stores, and the increase general and administrative expenses due to enhancing competencies in the senior positions, and despite of the derecognition of its share in the profits of Abdullah Al-Othaim Investment Company in the second quarter pursuant to the Board of Directors resolution to approve the sale of this investment.

Additional Information   “The quarterly investors presentation will be available on the Investors relations page of the Company website, at the following link:

https://www.othaimmarkets.com/investors-ir?___store=en&___from_store=ar“