Riyadh – Mubasher: Saudi Arabia-based Red Sea International Company on Thursday stated that it turned to loss during the first quarter of 2018, against posting profits in the corresponding period a year earlier.

The firm incurred a net loss of SAR 15.4 million during the three-month period ended March 2018, against achieving a net profit of SAR 8.7 million in Q1-17, according to a bourse statement.

Red Sea International attributed the negative turn in its financials to a decrease in buildings and leasing revenues, in addition to deferring retained revenues of SAR 38.3 million until Q2-2018.

The Saudi company has also implemented cost control measures, cut selling and marketing expenses by 25.5%, coupled with a 3.9% reduction in general and administrative expenses as compared to Q1-17, the statement added.

Sales revenues retreated 35% to SAR 147.7 million during Q1-18, from SAR 227.3 million in the prior-year period. 

The company’s statement further noted that shareholders’ equity, excluding minority interest, levelled down 16.3% to SAR 789 million in January-March period of 2018, down from SAR 842.8 million in Q1-17.

Red Sea International trimmed losses by 72.4%, compared to Q4-17.

By 10:23 am KSA time, the stock fell 0.22% to SAR 18.08.