Riyadh – Mubasher: Savola Group achieved SAR 172.8 million worth of net earnings in the first quarter (Q1) of 2020, significantly up by 2,643% from SAR 6.3 million in Q1-19.

The positive results are owed to higher sales and profit margins in the food and retail sectors as well as a higher share of results from associates and lower operating expenses, according to a bourse disclosure on Thursday.

The growth in net profits was achieved despite the slightly higher net finance cost resulting from the foreign currency exchange losses, in addition to a reversal of a provision in Q1-19 and higher zakat and tax expenses and income tax.

On a quarterly basis, Savola’s profits increased by 25.8% when compared to the previous quarter when it totalled SAR 137.3 million.

In 2019, the group achieved SAR 475.6 million in net profit, versus losses of SAR 520.4 million for 2018.