| Reasons of increase (decrease) for quarter compared with same quarter last year |
The Net Profit of this Quarter amounted to SAR 232 million increased by 4.13% as compared to same quarter last year. This is despite the decrease in sales by 5.5% as compared same quarter of last year. The company was able to benefit from the flowing positive elements: 1) The disposal of Blanco on which the company incurred a loss of SAR 47 million last year, 2) increase of 0.5% of Gross Profit due to a better discount policy as well as a better sales mix. And despite the decrease of the Gross Margin by SAR 18 million, the Operating Income decreased only by SAR 12M thanks to the decrease of the operating expenses by SAR 6 millions. |
| Reasons of increase (decrease) for quarter compared with previous quarter |
The increase in Net rofit in 1st Quarter compared with the last quarter is due to seasonality factor of Holy month of Ramadan. |
| Reclassifications in quarterly financial results |
Certain figure for the prior period have been re-measured and reclassified in order to be in line with the international accounting standards IFRS used to prepare the Financial Statements. |
| Other notes |
Sales for the 1st quarter is SAR 2,070 million compared to SAR 2,190 million with a decrease of 5.5% compared with the same quarter last year and an increase of 46% versus the previous quarter where sales amounted to SAR 1,420 million due to the positive impact of the Holy month of Ramadan. The total comprehensive income amounted to SAR 206 Million compared to SAR 212 million for the same quarter of last year with decreased of 2.8% . The company was able to successfully move from SOCPA to IFRS and the Financial Statements as at 30 June 2017 are IFRS compliant. The retained earnings as at 1st April 2016 were reduced by SAR 169 million as result of the IFRS transition. For more detail about the IFRS accounting standards as well as the impact of IFRS please refer to notes 5,6 and 7 of the condensed consolidated interim financial statements for the period ending 30 June 2017. It is important to note that certain figures for the periods 31 March 2017 and 30 June 2016 were re-measured and reclassified to become comparable and aligned with IFRS. The total shareholder's equity (no minority interest) as of 30 June, 2017 amounted to SAR 2,983 million an increase of 10.85 % as compared to the total shareholder's equity (no minority interest) of SAR 2,692 million as of 30 June, 2016. |
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