SPIMACO profits jump 127% during Q2 to 34 million riyals

The net profit of the Saudi Pharmaceutical Industries and Medical Appliances Corporation increased to 34 million riyals during the second quarter of 2024 compared to 15 million riyals in the same quarter of last year, by 126.6%. This came after the announcement today of the estimated financial results for the period ending June 30, 2024 (6 months).

The operating profit amounted to 36 million riyals in the second quarter compared to 30.5 million riyals in the same quarter of the previous year, an increase of 17.704%.

The earnings per share in the current period reached 0.57 riyals compared to 0.51 riyals in the same period last year.

According to the company, consolidated net profit amounted to SAR 34 million in the second quarter of fiscal year 2024 compared to a net profit of SAR 15.0 million in the second quarter of fiscal year 2023, mainly due to the following:

• Revenues: decreased by 8.5%, or SAR 34.7 million, to SAR 373.4 million, due to the suspension of contracts that did not meet internal profit margin limits.
• Gross profit: decreased by 3.5%, or SAR 6.4 million, to SAR 177.4 million in the second quarter of fiscal year 2024.
• Selling, general and administrative expenses: decreased by 9.6%, or SAR 13.1 million, to SAR 124.3 million compared to SAR 137.4 million in the second quarter of fiscal year 2023.
• Research and development expenses: increased by 20%, or SAR 2.2 million, to SAR 13.3 million.
• Operating profit: Profit increased by 17.7% or SAR 5.4 million to SAR 35.9 million compared to SAR 30.5 million recorded in Q2 FY23.
• Net finance cost: decreased by 33.9% to SAR 10.4 million compared to SAR 15.7 million in Q2 FY23, mainly due to capitalization of interest costs on assets under construction.