Qassim Cement profits down 71% to SR29 mln in Q2‎

Qassim Cement Co. revealed that net profit after zakat and tax declined in the second quarter to 29 million riyals, compared to 100.2 million riyals in the same quarter of last year, by 71%. This came after the announcement today of the preliminary financial results for the period ending in 2022-06 -30 (six months).

The operational profit amounted to 37 million riyals in the second quarter, compared to 91.6 million riyals in the same quarter of the previous year, a decrease of 59.6%.

The net profit after zakat and tax in the 6-month period amounted to 54 million riyals, compared to 201 million riyals in the same period last year, a decline of 73.12%.

The total shareholders’ equity “excluding minority rights” amounted to 1.69 billion riyals in the current period, compared to 1.80 billion riyals in the same period last year, a decrease of 6.2%.

Profits per share in the current period reached 0.6 riyals, compared to 2.23 riyals in the same period last year.

The decrease in the net profit during the current quarter compared to the same quarter of the previous year is due to the decrease in sales volume and value, and the increase in the cost of sales, in addition to book unrealized losses from investments at FVTPL during the current quarter compared to unrealized gains booked during the same quarter of the previous year.

The increase in net profit during the current quarter compared with the previous quarter is due to the increase in sales value driven by the increase in average selling price. Despite the decrease in sales volume due to holly month of Ramadan and Eid Al-Fiter holidays, and the decrease in financial investments returns and the decrease in other income.

The decrease in net income during the current period compared with the same period of the previous year is due to the decrease in sales value and volume, and the increase in cost of good sold, and the decrease in financial investments return. Despite the increase in other income and the decrease in zakat expense.

Some comparative figures have been reclassified to tally with the current presentation.