Saudi Ground Services Co. announces its Interim Financial Results for the Period Ending on 2020-03-31 ( Three Months )
| Element List | Current Quarter | Similar quarter for previous year | %Change | Previous Quarter | % Change |
|---|---|---|---|---|---|
| Sales/Revenue | 512,170 | 609,070 | -15.909 | 599,325 | -14.542 |
| Gross Profit (Loss) | 100,644 | 173,147 | -41.873 | 119,442 | -15.738 |
| Operational Profit (Loss) | -8,194 | 105,837 | - | 63,212 | - |
| Net Profit (Loss) after Zakat and Tax | -51,542 | 104,116 | - | 74,072 | - |
| Total Comprehensive Income | -51,542 | 104,116 | - | 74,072 | - |
| All figures are in (Thousands) Saudi Arabia, Riyals | |||||
| Element List | Current Period | Similar period for previous year | %Change |
|---|---|---|---|
| Total Share Holders Equity (after Deducting Minority Equity) | 2,894,346 | 2,966,145 | -2.42 |
| Profit (Loss) per Share | -0.274 | 0.554 | |
| All figures are in (Thousands) Saudi Arabia, Riyals | |||
| Element List | Explanation |
|---|---|
| Increase (Decrease) in Net Profit for Current Quarter Compared to the Same Quarter of the Previous Year is Attributed to | The current quarter recorded a net loss of SAR 51.5 million due to the suspension of both international and domestic flights as a result of precautionary measures taken by the government due to the outbreak of COVID-19, which had a direct impact that caused a decreased in revenue by 15.9%, and had impacted the impairment loss on trade receivables to increase by SAR 47 million in the current quarter. Alongside the direct impact, COVID-19 has indirectly impacted our investment which is reflected in the unrealized net loss of SAR 18.6 million on FVTPL investment. Further, the company has recorded a loss of SAR 16.2 million from an equity accounted investment. Despite the challenging business environment, the company were able to realize a cost reduction in operating and administration expenses of SAR 24.4 million and SAR 5 million, respectively, in comparison to same quarter of last year. |
| Increase (Decrease) in Net Profit for Current Quarter Compared to the Previous Quarter is Attributed to | The current quarter recorded a net loss of SAR 51.5 million due to the suspension of both international and domestic flights as a result of precautionary measures taken by the government due to the outbreak of COVID-19 which had a direct impact that caused a decreased in revenue by 14.5%, and had impacted the impairment loss on trade receivables to increase by SAR 65.6 million in the current quarter. Alongside the direct impact, COVID-19 has indirectly impacted our investment which is reflected in unrealized net loss of SAR 18.6 million on FVTPL investment. Further, the company has recorded a loss of SAR 16.2 million from its equity accounted investment. Despite the challenging business environment, the company were able to realize a cost reduction in operating and administration expenses of SAR 68.3 million and SAR 12.8 million, respectively, in comparison to last quarter. |
| Basis of the External Auditor's Opinion | Unmodified opinion |
| Reclassification of Comparison Items | Certain comparative amounts have been reclassified to conform to the current period’s presentation. |
| Additional Information | (1) With the outbreak of COVID-19 and the suspension of domestic and international commercial flights from mid March 2020, as a result of precautionary measures taken by the government, the company's management has formed a Business Continuity Executive Committee, which developed a plan with different scenarios and several possibilities to reduce the impact of COVID-19 on the expected financial results and the associated cash flows. The committee has identified initiatives to reduce costs without affecting the company’s ability to ramp-up its operational capabilities in case of lifting the suspension on flights, and easing the precautionary measures taken by the official authorities to limit the spread of COVID-19.
(2) Total revenue for the current quarter amounted to SAR 512.2 million compared to SAR 609.1 million for the same quarter of the previous year which is a decrease of 15.9%. The net loss for the current period amounts to SAR 51.5 million compared to net profit of SAR 104.1 million for the same period last year which is a decrease of 149.5%. The net loss for the current quarter is SAR 51.5 million compared to net profit of SAR 75.2 million for the previous quarter which is a decrease of 165.5% The comprehensive loss for the current quarter is SAR 51.5 million compared to comprehensive income of SAR 104.1 million for the same period last year which is a decrease of 149.5%. The Company has no minority interest with total shareholders' equity reaching to SAR 2,894.3 million for the current period compared to SAR 2,966.1 million for the same period last year which is a decrease of 2.42%." |
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