Extra profits increase to SAR 118.2 million during Q3, by 25.5%

United Electronics Company (Extra) announced on Monday that net profit after zakat and tax in the third quarter increased to SAR 118.2 million, compared to SAR 94.1 million in the same quarter of last year, by 25.5%. This came after the announcement on Monday of the estimated financial results for the period ending on September 30, 2023. (nine months).

Operational profit reached SAR 132.2 million in the third quarter, compared to SAR 102.8 million in the same quarter of the previous year, a growth of 28.5%.

Net profit after zakat and tax in the 9-month period amounted to SAR 264.3 million, compared to SAR 318.7 million in the same period last year, an increase of 17%.

Total shareholders’ equity (excluding minority rights) amounted to SAR 1.13 billion in the current period, compared to SAR 1.02 billion in the same period last year, an increase of 11.2%.

Earnings per share in the current period reached SAR 3.3, compared to SAR 3.98 in the same period last year.

The Company’s net profit total amounted to SAR 118.2 million vs. SAR 94.2 million for the same Q last year, as The Company’s revenue grew by 5.7% vs. same Q last year, driven by higher retail sales, eXtra Services revenue and higher revenue of consumer finance through United Company for Financial Services, which impacted Gross Profit growth vs. same Q last year by 11%, to total SAR 333.1 million vs. SAR 300.2 million for same Q last year, to grow The Company’s net profit by 25.5% vs. same Q of last year, despite negative impact of higher interest rates on Q3 by SAR 11.3 million vs. same Q of last year. It’s Worth noting that United Company for Financial Services Achieved a net profit of SAR 53.4 million vs. SAR 45.2 million for the same Q last year, achieving growth of 18.2%.

The Company’s net profit amounted to SAR 118.2 million vs. SAR 61.7 million for previous Quarter, despite lower sales of Q3 vs. Q2. however, due to recognition non-recurring losses during the second quarter equivalent to SAR 38 million due to discontinue the Company’s expansion plan in Egypt, the previous Q net profit negatively impacted vs. current Q.

The Company’s net profit amounted to SAR 264.3 million vs. SAR 318.8 million vs. same period last year, despite achieving higher revenue vs. same period of last year by 3.4%, as net profit negatively impacted by higher interest rates, which led to higher finance cost equivalent to SAR 39.6 million vs. same period last year, in addition to recognition of non-recurring losses during the current period equivalent to SAR 38 million due to discontinue the Company’s expansion plan in Egypt. However, Supported by Y-o-Y higher consumer finance revenue and sales mix improvement in retail sector, The Company’s gross profit grew by 8.3% vs. same period last year, to total SAR 987 SAR 911.3 million, in addition to increase of SG&A for the period vs. same period last year. It’s Worth noting that United Company for Financial Services Achieved net profit of SAR 157.2 million vs. SAR 144.1 million for same period last year, achieving growth of 9.1%.

These estimated financial results for the period ended 30 September 2023 are prepared by the management of the Company and these results are not reviewed by the external auditors.

The Company’s EPS has been adjusted after the capital increase, which has been approved by the extraordinary general assembly which held on 5th of Oct-2022