Albilad Capital has stated in a report that Savola’s preliminary financial results missed expectations and manifested a substantial decrease in the fourth quarter bottom line, hurt by higher provisions and capital gains recorded in the comparable quarter.
Savola Group posted SAR 434.4 million net profit for the fourth quarter of 2014, with a decline by 23% year-over-year from SAR 564.2 million and 38% quarter-on-quarter from SAR 701.4 million.
FY14 net profit amounted to SAR 2,072.3 million, with 22% rise from SAR 1,704.5 million a year earlier.
Albilad set the stock fair value at SAR 89.3, with an ‘Overweight’ rating.
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