Filling & Packing Materials MFG. Co. (FIPCO) announces the Consolidated Interim Financial results for the period ended Jun. 30, 2023 (Six Months)
| Element List | Current Quarter | Similar quarter for previous year | %Change | Previous Quarter | % Change |
|---|---|---|---|---|---|
| Sales/Revenue | 45.9 | 71.3 | -35.62 | 63.9 | -28.17 |
| Gross Profit (Loss) | 9.3 | 11 | -15.45 | 10.7 | -13.08 |
| Operational Profit (Loss) | 1.1 | 0.6 | 83.33 | 3.8 | -71.05 |
| Net Profit (Loss) after Zakat and Tax | 0.06 | 0.9 | -93.33 | 1.2 | -95 |
| Total Comprehensive Income | 0.06 | 0.9 | -93.33 | 1.2 | -95 |
| All figures are in (Millions) Saudi Arabia, Riyals | |||||
| Element List | Current Period | Similar period for previous year | %Change |
|---|---|---|---|
| Sales/Revenue | 109.8 | 134.2 | -18.18 |
| Gross Profit (Loss) | 20 | 19.6 | 2.04 |
| Operational Profit (Loss) | 4.1 | 1.2 | 241.67 |
| Net Profit (Loss) after Zakat and Tax | 1.2 | 1.3 | -7.69 |
| Total Comprehensive Income | 1.2 | 1.3 | -7.69 |
| Total Share Holders Equity (after Deducting Minority Equity) | 133.3 | 121.3 | 9.89 |
| Profit (Loss) per Share | 0.11 | 0.11 | |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| Element List | Explanation |
|---|---|
| The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is | FIPCO has achieved net profit of SR 0.06 million for the second quarter of 2023 compared to the net profit of SR 0.9 million in the corresponding quarter of the previous year 2022, the reasons lie mainly behind the following:
1- Decrease in gross profit due from decreased turnover resulted from drop in sales volume according to the seasonal nature of sales, as the blessed month of Ramadan, in addition to Eid Al-Fitr and Eid Al-Adha holidays has taken place within the second quarter of the fiscal year 2023. 2- An increase in general and administrative expenses because of settling the offering expenses paid to the financial advisor that relates to increasing the company's capital through offering rights issues. 3- Decrease in other revenues because of obtaining the financial support due from “ESTERDAD” initiative issued by the Small and Medium Enterprises Authority during the second quarter of 2022.
These results achieved in spite of:
1- Selling and Marketing expenses are lower because of decreased shipping prices as a result of decreased sales volume, in addition to the decrease in recruitment costs during this quarter after restructuring some jobs. 2- Expected credit losses provision has been decreased in accordance with IFRS 9. |
| The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter of the current year is | The reasons lie behind decreased net profit for the current quarter of 2023 compared to the last quarter of the same year are mainly due to:
1- Decrease in gross profit due from decreased turnover resulted from drop in sales volume according to the seasonal nature of sales, as the blessed month of Ramadan, in addition to Eid Al-Fitr and Eid Al-Adha holidays has taken place within the second quarter of the fiscal year 2023. 2- An increase in general and administrative expenses because of settling the offering expenses paid to the financial advisor that relates to increasing the company's capital through offering rights issues.
These results achieved in spite of:
1- Selling and Marketing expenses are lower because of decreased shipping prices as a result of decreased sales volume, in addition to the decrease in recruitment costs during this quarter after restructuring some jobs. 2- the other income is slightly higher. |
| The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is | FIPCO has achieved net profit of SR 1.2 million for the six months of 2023 compared to the net profit of SR 1.3 million in the corresponding period of the previous year 2022, the reasons lie mainly behind the following:
1- An increase in general and administrative expenses because of settling the offering expenses paid to the financial advisor that relates to increasing the company's capital through offering rights issues. 2- Lower gains of investments at fair value through profit or loss. 3- Decrease in other revenues because of obtaining the financial support due from “ESTERDAD” initiative issued by the Small and Medium Enterprises Authority during the first half of 2022.
These results achieved in spite of:
1- an increase in gross profit however the turnover is declined, due to variation in product mix in FIPCO & FPC. 2- Selling and Marketing expenses are lower because of decreased shipping prices as a result of decreased sales volume, in addition to the decrease in recruitment costs during this period after restructuring some jobs. 3- Expected credit losses provision has been decreased in accordance with IFRS 9. |
| Statement of the type of external auditor's report | Unmodified conclusion |
| Reclassification of Comparison Items | Certain Comparative figures have been reclassified to be consistent with the presentation of the current period presentation. |
| Additional Information | Some changes have been introduced in the presentation method for some items, represented by the reclassification of other revenues, which affected the previously announced numbers regarding operating profit during the previous quarter and the previous period, in addition to adjusting the amount of net profit and total comprehensive income in the first quarter of the year 2023. |
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