Fadeco Records Losses of SR199 thousand during H1

The Arabian Food and Dairy Factories Company (Fadeco) recorded a net loss after zakat and tax in the first half of SR198.8 thousand, compared to a profit of SR3.4 million in the same period last year.

This came after announcing on Wednesday the preliminary financial results for the period ending on 30.06.2022 (six months).

The operational profit amounted to SR93 thousand in the first half, compared to SR3.6 million in the same period of the previous year, a decrease of 97.4%.

The gross shareholders’ equity “without minority rights” amounted to sR26 million in the 6th period, compared to SR28.1 million in the same period last year, a decrease of 7.5%.

The loss per share in the current period was SR0.14, compared to SR2.47 in the same period last year.

The company’s sales increased by 9.40% compared to the same period of the previous year, with a value of SR2,331,004 due to the company’s expansion in new areas and reliance on electronic marketing channels and access to a larger segment of individual customers through delivery platforms.

The profit margin reached 39% compared to 47% in the same period last year, due to the high cost of raw materials and higher wages.

Distribution and marketing expenses increased as a percentage of sales to 26.76% compared to 24.58% from last year, with a value of SR1,162,985.

General and administrative expenses increased as a percentage of sales to 8.24% compared to 7.66% from last year, with a value of SR333,727.