Alujain Corp. announces its interim Financial results for the period ending on 2019-03-31 ( Three Months )
| Element List | Current Quarter | Similar quarter for previous year | %Change | Previous Quarter | % Change |
|---|---|---|---|---|---|
| Sales/Revenue | 4.75 | 5.07 | -6.311 | 7.02 | -32.336 |
| Total Profit (Loss) | 0.82 | -0.11 | - | 1.57 | -47.77 |
| Profit (Loss) Operational | -64.57 | 62.81 | - | -49.21 | 31.213 |
| Net Profit (Loss) after Zakat and Tax | -78.72 | 62.46 | - | -49.29 | 59.707 |
| Total Comprehensive Income | -79.46 | 62.76 | - | -64.87 | 22.491 |
| 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) | 1,224.72 | 1,279.66 | -4.293 |
| Profit (Loss) per Share | -1.14 | 0.9 | |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| Element List | Explanation |
|---|---|
| Reason for increase (decrease) in net profit for current quarter compared to the same quarter of the previous year | The decrease in net profit for current quarter compared to the same quarter of the previous year is mainly due to:
(1) Alujain’s share of net losses reported by its affiliate NATPET during the current quarter. (Alujain ownership in NATPET is 57.4% representing around 98% of the total investments of Alujain). NATPET’s plant is still not operational due to the fire incident which happened during last quarter of 2018. NATPET expects that the construction work shall be completed by August 2019, (2) Zakat provision by SR 13.8M during current quarter to cover additional Zakat assessments issued by GAZT for the years 2003 through 2016 |
| Reason for increase (decrease) in net profit for current quarter compared to the previous quarter | The decrease in net profit for current quarter compared with previous quarter is mainly due to:
(1) higher Alujain’s share of net losses reported by its affiliate Natpet (Alujain ownership in Natpet is 57.4%). NatPet had very low sales due to the production interruption with high gross loss (SR 85 million) during current quarter mainly due to fixed overheads and also had reported higher general & administrative expenses (SR 24 million higher), although a gain of SR 31 million is recorded on acquisition of its JV. (2) Zakat provision by SR 13.8M, as explained above |
| Type of the external auditor's opinion | Unmodified opinion |
| External auditor's report containing reservation | Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed consolidated interim financial statements are not prepared, in all material respects, in accordance with International Accounting Standard (34) “Interim Financial Reporting” that is endorsed in the Kingdom of Saudi Arabia.
Emphasis of Matter We draw attention to note (4) in the condensed consolidated interim financial statements which describes that fire occurred at the plant of National Petrochemical Industries Company “NATPET” (Associate company) on October 2, 2018. Our conclusion is not modified in respect of this matter. |
| Reclassifications in quarter financial result | Certain reclassifications were made in comparative numbers to conform to the current period. |
| Additional Information | From January 1, 2019, the Company has adopted IFRS 16 for Leases with no material impact on the results of its interim financial statements.
1. The increase in Alujain’s operational losses are mainly due to the losses reported by its affiliate (NATPET), as its sales for current quarter is SR0.78 million as compared to SR 537.05 million during same quarter last year. NATPET net loss for current quarter is SR108.44 million as compared to net income of SR121.74 million during same quarter last year. Alujain share (57.4%) from NATPET net loss is SR62.25 million as compared to share (57.4%) from NATPET net income of SR69.88 million during same quarter last year.
2. NATPET received first payment of SR 185.25 million on account, from its insurers during this quarter, which is not allocated to a particular item and has been recorded under accrued and other liabilities in NATPET financial statement. It will be reclassified later to appropriate accounts and will adjust the future results on reaching an agreement with its insurers.
3. NATPET loss per share is SR 1.01 as compared to earning SR 1.14 in same period of last year.
4. NATPET long term loans balance excluding its current portion is SR270.95 million as at the end of current period.
5. Natpet Cash and cash equivalents as at end of current quarter is SR744.80 million |
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