Saudi Electricity Profits Fell to SR5.5 bln during Q2, by 6%

The net profit after zakat and tax for the Saudi Electricity Company decreased to SR5.5 billion during the second quarter, compared to SR5.8 billion during the same quarter of the previous year, by 6%.
This came after the announcement on Monday of the financial results for the period ending on 30-06-2022 “6 months”.
The operational profit amounted to SR5.86 billion during the second quarter, compared to SR6.1 billion during the same quarter of the previous year, a decrease of 4%.
The gross profit amounted to SR6.5 billion during the second quarter, compared to SR6.4 billion during the same quarter of the previous year, an increase of 1.3%.
The net profit after zakat and tax during the current period amounted to SR7 billion, compared to SR7.5 billion during the same period of the previous year, a decrease of 7%.
Profits per share during the current period amounted to SR0.77, compared to SR0.89 during the same period of the previous year.
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is:
Net income decrease in the current quarter compared to same quarter last year is mainly attributable to higher booked receivable provisions due to increased average ageing. Furthermore, higher operating revenues attributed to growth in power demand has completely offset higher operating costs and general and administrative expenses.
The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter of the current year is:
The increase in net income in the current quarter compared to the previous quarter of the current year is mainly due to sales seasonality.
The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is:
Net income decrease in the current period compared to same period last year is mainly attributable to higher operations and maintenance costs as well as higher booked receivable provisions due to increased average ageing. This is despite higher operating revenue that partially offset the increase in operating costs driven by growing demand for electric power. Furthermore, higher other Income has completely offset increased general and administrative expenses and higher financing costs during the current period.
Certain comparative figures have been reclassified to conform to the presentation in the current periods.
Net profit attributable to common shares for the six months ended 30 June 2022 (after deducting profit attributable to Mudaraba Instrument of SR3,799 million) amounted to 3,220 million compared to a net profit of SR3,718 million for the same period last year, accordingly basic and diluted earnings per share the six months ended 30 June 2022 arrived at SR0.77 compared to SR0.89 for the same prior year period.
The Company will organize a conference call to discuss financial results of the six months ended 30 June 2022 with investors and financial analysts on wednesday 24/08/2022 a. Investors wishing to participate in this conference call are requested to contact the Company’s Investor Relations Department.