‎“AlMunajem Foods” profits decreased to SR57.6 million during ‎Q2, by 52.8%‎

The net profit after zakat and tax of Al Munjim Food Company decreased to 57.6 million riyals during the second quarter, compared to 122.1 million riyals in the same quarter of last year, by 52.8%. This came after announcing today the preliminary financial results for the period ending on June 30 “six months.” “

The operational profit amounted to 70 million riyals in the second quarter, compared to 127.7 million riyals in the same quarter of last year, a decrease of 52.3%.

The net profit after zakat and tax during the 6-month period amounted to 139.4 million riyals, compared to 219.7 million riyals in the same period last year, a decrease of 36.5%.

The total shareholders’ equity “after excluding minority rights” in the current period amounted to 980 million riyals, compared to 904.4 million riyals in the same period last year, a decline of 8.3%.

Earnings per share in the current period amounted to 2.32 riyals, compared to 3.66 riyals in the same period last year.

Net profit for the second quarter decreased by 52.9% to reach 57.6 million riyals, compared to the same period of the previous year, due to the following main factors:

– Gross profit decreased by 31% to reach 135.2 million Saudi riyals due to lower profit margins in the categories of red and white meat, frozen vegetables and fruits, and dairy derivatives during the period compared to the same quarter of the previous year.

Although:

– Increased revenues by 8.4% to reach 772 million riyals and increased sales volume

– A decrease in the ratio of expenses to revenues, reaching 9.6% during the current quarter, compared to 10.4% during the same period of the previous year.

Net profit decreased during the second quarter of 2023, compared to the previous quarter, by 29.7%, to reach 57.6 million riyals, due to the following main factors:

Revenues decreased by 14.4% to reach 772 million riyals as a result of the decrease in sales volume in most item groups due to the coincidence of the previous quarter with the Ramadan season.

Gross profit decreased by 13.2% to reach 135.2 million riyals due to a decrease in sales and a change in the sales mix during the period compared to the previous quarter.

Net profit for the current period decreased by 36.5% to reach 139.4 million riyals compared to the same period of the previous year due to the following main factors:

The decrease in gross profit by 21%, due to the decrease in profit margins in most of the main product groups, despite the increase in sales volume in all product groups during the current period compared to the same period of the previous year.

– Total operating expenses increased by 2% to reach 148.5 million riyals as a result of the increase in sales volume, while the ratio of expenses to revenues decreased to 8.9% during the current period compared to 9.7% compared to the same period of the previous year.

Some comparative figures for previous periods have been reclassified in line with the current period’s classification.