Cairo – Mubasher: The standalone financial statements of Arab Cotton Ginning reported a 55.9% year-on-year profit drop during the first nine months of fiscal year 2019/2002.

The company’s net profits fell to EGP 13.41 million in the nine-month period ended on 31 March, compared to EGP 30.47 million in the prior-year period, according to a bourse disclosure on Thursday.

In addition, sales shrank to EGP 34.76 million from July 2019 to the end of last March, compared to EGP 58.28 million in the corresponding period a year earlier.

The fall in net profits was ascribed to lower revenues by 40% due to the decreased planted area of cotton as well as a 31% increase in general and administrative expenses and a 77% rise in exchange rate losses.

It is noteworthy to mention that during the first half of FY19/20, Arab Cotton Ginning suffered net losses of EGP 28.12 million, compared to nearly EGP 938,000 in the year-ago period.