Riyadh – Mubasher: The initial financial statements of United Electronics Company (eXtra) showed a 24.89% surge in net profits after Zakat and tax during the second quarter ending 30 June 2020.

The profits amounted to SAR 90.5 million in the April-June period of 2020, compared with SAR 72.46 million in the corresponding period a year earlier, according to a stock exchange filing on Monday.

Meanwhile, revenues stood at SAR 1.55 billion by June-end when compared to SAR 1.16 billion, posting a 33.5% annual increase.  

The Tadawul-listed company ascribed the growth in profits to higher sales of all departments, particularly with the beginning of June, due to the newly-applied value-added tax (VAT) hike. This rise, however, came despite the increasing selling, distribution, and administrative expenses.

During its meeting, the company’s board approved distributing cash dividends worth SAR 60 million to shareholders for the first half (H1) of 2020, representing SAR 1 per share or 10% of the share’s nominal value, according to a separate bourse statement. 

Eligibility of dividends will be to the shareholders at the end of the eligibility date scheduled on 9 August 2020, as per the registered shareholders in the register of the Securities Depository Center Company (Edaa) at the end of the second trading day following the maturity date.

The distribution will take place on 23 August.