Saudi Arabia Refineries Co. announces the interim financial results for the period ending on 30-09-2017 (Nine Months)

31 October 2017 03:36 PM

Default Company 2030.O 0.00% 0.00 0.00

Element	Current quarter	Similar quarter for previous year	% Change current	Previous quarter	% Change previous
Net profit (loss)	-336,988	-1,304,085	74.16	-1,021,760	67.02
Gross profit (loss)	298,783	-532,225	-	-135,449	-
Operational profit (loss)	-191,988	-1,079,085	82.21	-876,760	78.1
All figures are in Saudi Arabia, Riyals

Element	Current period	Similar period for previous year	% Change
Net profit (loss)	1,679,306	-2,224,343	-
Gross profit (loss)	7,846,116	253,941	2,989.74
Operational profit (loss)	2,114,306	-1,549,343	-
Earning or loss per share, Riyals	0.11	-0.15	-
All figures are in Saudi Arabia, Riyals

Element	EXPLAINATION
Reasons of increase (decrease) for quarter compared with same quarter last year	The reason for the reduction in the loss is due to non-inclusion of the Companys share in the loss of an affiliate during the current quarter (investment loss in Arabian Sulphonates Company Limited) and reduction in some items of general and administrative expenses.
Reasons of increase (decrease) for period compared with same period last year	The reason for the profit is due to distribution of dividends by Saudi Industrial Investment Group (investee company) for the year 2016 of SR 7,597,240
Reasons of increase (decrease) for quarter compared with previous quarter	The reason for the reduction in the loss is due to non-inclusion of the Companys share in the loss of an affiliate during the current quarter (investment loss in Arabian Sulphonates Company Limited) and reduction in some items of general and administrative expenses.
External auditor's report containing reservation	Basis for qualified conclusion 1/ The Companys has investment in equity with one of its affiliate and the value of the investment has decreased below its cost during the period ended September 30, 2017 and previous periods which led to reduction in investment value in investee company as shown in (Note 9). 2/ The investment in Arabian Sulphonates Company Limited (affiliate) was not valued during the period ended September 30, 2017 due to unavailability of unaudited administrative financial statements. The Company has filed a lawsuit against the management of Arabian Sulphonates Company Limited (Note 9).
Reclassifications in quarterly financial results	Certain comparative figures have been reclassified to conform with the current period presentation.
Other notes	Additional information 1/ Total income from revenue during the current quarter amounting to SR 298,783 against loss of SR (532,225) for the similar quarter of last year. 2/ Total profit from revenue during the current period amounting to SR 7,846,116 against SR 253,941 for the similar quarter of last year, with an increase of 2,990%. 3/ Total Shareholders equity (no minority interest) during the current period amounting to SR 391,044,476 against SR 270,422,086 for the similar period of last year with an increase of 45%. 4/ Total comprehensive income during the current quarter amounting to SR 14,638,062 against loss of SR (12,314,023) for the similar quarter of last year and total comprehensive loss for the previous quarter amounting to SR (14,555,227). Total comprehensive income during the current period amounting to SR 29,520,860 against loss of SR (18,484,955) for the similar period of last year. 5/ During the current period, the Company made a provision for doubtful debts of SR 3,869,066 represents the remaining 50% of the total amount to meet the obligation of local banks to cover the bank guarantees of an affiliate (Note12). 6/ The Company has adopted the International Financial Reporting Standards (IFRS) effective January 1, 2017 in accordance with International Financial Reporting Standards (IFRS) as set forth in Note 3 to provide comparative figures for financial statements adopted in accordance with the requirements of the International Financial Reporting Standards adopted in Saudi Arabia and standards and other publications approved by the Saudi Organization for Certified Public Accountants. For further details, refer to note 2 (First-time application of IFRS) in the notes to the condensed interim financial statements for the period ended 30 September 2017.

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