Riyadh – Mubasher: Saudia Dairy and Foodstuff Company (Sadafco) on Thursday reported a 35.23% year-on-year decline in its net profits during the first quarter of 2018.

Sadafco’s net profits amounted to SAR 50.03 million during the period between April to June, compared to SAR 77.2 million in Q1-17, according to a statement to the Saudi Stock Exchange (Tadawul).

Quarter-on-quarter, profits inched up 0.17% in Q2-18, the dairy products and beverages’ distributor said.

Sadafco attributed the second-quarter profit decrease to a drop in sales after a shrinkage in overall fast-moving consumer goods (FMCG) market following the departure of expatriates, coupled with a rise in raw materials costs.

Selling and distributing expenses fell 16.1% due to lower sales, whereas revenues of investing in deposits on surplus cash surged 81%.

Sales fell 9.4% to SAR 410 million during Q1-18, from SAR 453 million in the same period a year earlier.

SADAFCO’s fiscal year ends 30 March.

By 10:46 am Saudi time, SADAFCO’s stock shed 0.65% to SAR 91.60.