Herfy profits fell 78.6% in Q2, to SR 4.5 million ‎

Profits of Herfy Food Services Company, after zakat and tax, declined to 4.5 million riyals during the second quarter, compared to 21.2 million riyals in the same quarter of last year, a decrease of 78.6%. This came after today’s announcement of the preliminary financial results for the period ending on June 30, 2023 (6 months).

Gross profit amounted to 71.8 million riyals during the second quarter, compared to 80 million riyals in the same quarter of last year, a decrease of 10.2%.

The total shareholders’ equity “after excluding minority rights” amounted to 1.015 billion riyals during the current period, compared to 1.091 billion riyals in the same period last year, a decline of 7%.

Operational profit amounted to 9 million riyals during the current period, compared to 67.6 million riyals in the same quarter of last year, a decrease of 86.6%.

The loss per share amounted to 0.13 riyals in the current period, compared to a profit of 0.74 riyals during the same period last year.

The reason for the decrease in the net profit for the second quarter of the year 2023 compared to the net profit for the second quarter of the year 2022 is due to the decrease in sales, in addition to the increase in the cost of sales percentage, the increase in selling and marketing expenses, general and administrative expenses, the decrease in other revenues and the increase in zakat expense, although Lower financing costs

The reason for achieving a net profit for the second quarter of 2023 compared to a net loss for the previous quarter of 2023 is due to the increase in sales, in addition to the decrease in the cost of sales percentage, and the decrease in selling and marketing expenses, despite the increase in general and administrative expenses and financing expenses, and the decrease in revenues Other than that, increase the zakat expense

The reason for achieving a net loss for the period ending on June 30, 2023 compared to a net profit for the same period of the previous year 2022 is due to the decrease in sales, in addition to the increase in the percentage of the cost of sales, the increase in selling and marketing expenses, and the increase in zakat expense, despite the increase in other revenues, Decrease in general, administrative and financing expenses

Some comparative numbers have been revised and reclassified to conform with the figures for the second quarter on June 30, 2023.