Riyadh- Mubasher: The financial statements of the Saudi Pharmaceutical Industries and Medical Appliances Corporation (SPIMACO) revealed a year-on-year turn to loss during the second quarter of 2019.

SPIMACO incurred net losses worth SAR 188.54 million in Q2-19, against net profits worth SAR 12.26 million, after zakat and taxes, in Q2-18, according to the Saudi Stock Exchange (Tadawul) on Monday.

The company attributed the turn to losses in Q2-19 to SAR 55 million lower gross profits than in Q2-18, as a result of lower prices of some products.

SPIMACO ascribed the SAR 24 million decline in gross profits to the amendment of the sales allocation ratio as per the International Financial Reporting Standard (IFRS) 15.

Meanwhile, the impairment losses on receivables allocation rose by SAR 29 million as per the International Financial Reporting Standard (IFRS) 9.

SPIMACO noted that an allocation worth SAR 109 million was created in Q2-19 for the credit facilities submitted to a sister company.

The International Financial Reporting Standards (IFRS) 3 and 16 were applied in Q2-19, resulting in a loss of SAR 12.5 million, the company remarked.