1- 17.4M Finance Cost Increased mainly due to stop capitalization in Al Widyan Project as the project activities stopped, as the land was located inside the development area which is under the studying of development purposes by Government.

2- Increase in General & Administrative Expenses compared to the same quarter of the previous year by 5.8 million riyals as a result of the expansion of the activity of subsidiaries.

3- Increased Sales & Marketing Expenses by (6.6) million riyals mainly in ECL and Advertisement campaign Al Akaria Park (Real Estate Project)

4- Decrease in Net other Income

5- Increase zakat provision by 7.3 million riyals "

1- Decrease in revenues and not recording any land sales during this quarter.

2-Increased Sales & Marketing Expenses by (3.8) million riyals mainly in ECL and Advertisement campaign Al Akaria Park (Real Estate Project)

3- Reversal of 50 million riyals in the previous quarter related to the Limitless case."

· We draw attention to note (3-a) to the interim condensed consolidated financial statements

for the period ended 31 March 2022, as stated therein, certain land parcels owned by

the Company are currently not available for use or development due to various reasons, of

which certain reasons relate to the areas where these lands are located and other related

to the fact that they are under study from specialized committees to resolve these matters.

The management is currently communicating with the related government agencies and

committees to address these reasons to allow the use of these lands. The impact on the

net realizable value of these lands is still uncertain and depend on the final results of the

study by the assigned committees. The carrying value of these lands amounted to SR 417

million as at 31 March 2022.

· We further draw attention to note (3-b) to the interim condensed consolidated financial

statements. As stated therein, during the period; it has come to management’s attention

that the land which was designated for the Al Widyan project is located within an area that

is currently under study by the relevant government agencies with the aim of developing

it, which may result into a fundamental change to the original project’s plan and may impact

the land’s realizable value. The effect of the extent of this study remains uncertain and is

dependent on future development by the relevant government agencies’ plan.

The carrying value of the land and capital work-in-progress amounted to SR 2,168 million

and SR 856 million respectively as at 31 March 2022.

Our review conclusion has not been modified in respect of the above matters."