Saudi Steel Pipe Co. announces the estimated consolidated Financial results for the period ending on 2019-03-31 ( Three Months )

05 May 2019 08:23 AM

Default Company 1320.O 0.00% 0.00 0.00

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Sales/Revenue	195.31	177.14	10.257	186.29	4.841
Total Profit (Loss)	12.53	16.8	-25.416	-6.61	-
Profit (Loss) Operational	2.61	6.55	-60.152	-21.05	-
Net Profit (Loss) after Zakat and Tax	0.32	-5.04	-	-102.64	-
Total Comprehensive Income	0.32	-5.04	-	-103.95	-
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Total Share Holders Equity (after deducting minority equity)	559.77	724.27	-22.712
Profit (Loss) per Share	0.01	-0.1
All figures are in (Millions) Saudi Arabia, Riyals

	Accumulated Losses	Capital	Percentage %
	126,469,085	510,000,000	24.8

Element List	Explanation
Reason for increase (decrease) in net profit for current quarter compared to the same quarter of the previous year	Net profit of SR 0.32 million for Q1 2019 compared to a net loss of SR 5.04 million for Q1 2018 is due to the following main reasons: (a) Share of profit in associate company (Global Pipe Company) for current quarter amounting to SR 3.1 million compared to share of loss for the same quarter last year amounting to SR 8.2 million. (b) Reversal of impairment for receivables amounting to SR 0.63 million compared to a charge for the same quarter last year of SR 0.24 million. (c) Zakat and income tax charge for current quarter of SR 0.16 million, compared to SR 0.82 million, a decrease of 80%, for the same quarter last year. Despite revenue growing to SR 195.31 million in Q1 2019, a growth of 10.26% from Q1 2018, gross profits declined to SR 12.53 million, mainly due to change in sales mix, compared to SR 16.8 million for the same quarter last year. Moreover, borrowing charges for Q1 2019 increased to SR 5.2 million, an increase of 103.2% from the same quarter last year.
Reason for increase (decrease) in net profit for current quarter compared to the previous quarter	Net profit of SR 0.32 million for Q1 2019 compared to a net loss of SR 102.64 million for Q4 2018 due to the following main reasons: (a) Impairment charges for fixed assets of SR 51.99 million accounted for in Q4 2018. (b) Provision against guarantee provided to an investee company of SR 30 million accounted for in Q4 2018. (c) Gross profit increasing to SR 12.53 million in Q1 2019, due to higher sales volume and change in sales mix, compared to a gross loss of SR 6.61 million for the previous quarter. (d) Reversal of impairment for receivables amounting to SR 0.63 million compared to a charge for the previous quarter of SR 2 million. Net profit for current quarter was partially offset by the decrease in share of profit in associate company (Global Pipe Company) to SR 3.1 million for current quarter compared to SR 5.3 million for the previous quarter.
Type of the external auditor's opinion	Unmodified opinion
External auditor's report containing reservation	These estimated financial results for the period ended March 31, 2019 are prepared by the management of the Company and these results are not reviewed by the external auditors.
Reclassifications in quarter financial result	Items, elements and notes of the comparatives in the financial statements have been restated, regrouped and reclassified, as applicable, to be consistent with the presentation and accounting policies adopted for the current period.
Additional Information	Q4 2018 net loss is higher by SR 2 million compared to the announcement made on Tadawul on January 21, 2019 due to the additional provisions for obsolete inventory accounted for in the audited financial statements. From January 1, 2019, the Company has adopted IFRS 16 for Leases with no material impact on the results of its interim financial statements.

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