‎“AlNayifat” Profits decreased by 51.4% during Q2, to SR 21.2 ‎million

Nayifat Finance Company revealed a decline in net profit after zakat and tax during the second quarter to 21.2 million riyals, compared to 43.7 million riyals in the same quarter of last year, a decline of 51.4%. This came after today’s announcement of the preliminary financial results for the period ending on June 30, 2023.

The operational profit amounted to 26.2 million riyals in the second quarter, compared to 49.2 million riyals in the same quarter of last year, a decrease of 46.6%.

The gross profit amounted to 89 million riyals in the second quarter, compared to 93.3 million riyals in the same quarter of last year, a decrease of 4.65%.

The net profit after zakat and tax during the 6-month period amounted to 53.7 million riyals, compared to 93.2 million riyals in the same period last year, a decrease of 42.4%.

The total shareholders’ equity “after excluding minority rights” amounted to 1.3 million riyals in the current period, compared to 1.2 million riyals in the same period last year, at a rate of 11%.

Earnings per share in the current period reached 0.45 riyals, compared to 0.78 riyals in the same period last year.

The reason for the decrease in the net profit is due to the increase in the financing cost, which is directly related to the increase in SIBOR rates, in addition to the increase in the provisions for expected credit losses.

The reason for the decrease in the net profit is due to the increase in the financing cost in addition to the increase in the provisions for impairment of expected credit losses.

The reason for the decrease in the net profit is also due to the increase in the financing cost, which is directly related to the increase in SIBOR rates, in addition to the increase in the provisions for the value of expected credit losses.