22 Mar

Fitaihi Announces its Annual Consolidated Financial Results for the Period Ending on 31-12-2022

By Uncategorized

4180FITAIHI GROUP-1.05 %1444/08/30     22/03/2023 08:07:57

Element ListCurrent YearPrevious Year%Change
Sales/Revenue43,820,574219,247,617-80.01
Gross Profit (Loss)9,897,895171,546,654-94.23
Operational Profit (Loss)-13,938,818141,809,528–
Net Profit (Loss) after Zakat and Tax-17,244,535149,638,380–
Total Comprehensive Income-47,247,386181,030,654–
Total Share Holders Equity (after Deducting Minority Equity)460,284,584507,531,970-9.31
Profit (Loss) per Share-0.633.23
All figures are in (Actual) Saudi Arabia, Riyals
Element ListExplanation
The reason for the increase (decrease) in the net profit during the current year compared to the last year isThe reason for achieving a loss during the Year 2022, compared to achieving a profit during the previous year, is mainly due to the following:
1- Achieve exceptional capital gains (non-recurrent in the Year 2022) from selling shares of an associate company at SAR 125.7 million in 2021.
2- Achieve a loss from the Company’s share in the business results of an associate company during the year 2022 at SAR 24.8 million, compared to achieving a profit of SAR 24.5 million during the previous year. While profits were recorded from the company’s share of the business results of an associate company based on the financial statements prepared by the management and according to the latest available information, the audited financial statements of the associate company (International Medical Center Company) has not been issued to date.
3- Achieve exceptional capital gains (non-recurrent in the Year 2022) from selling unused property for SAR 13.8 million in 2021.
4- Record gains from Investment Valuation at Fair Value Through Profit or Loss amounting to SAR 1.2 million in 2021 (non-recurrent in the Year 2022).

This is despite the positive aspects during the Year 2022 compared to the previous year:
1- The increase in gross profit of sales amounted to SAR 19.4 million during the Year 2022, compared to SAR 4.9 million during the previous year, due to an impairment of the inventory by SAR 17.9 million in the Year 2021.
2- The decrease in selling, distribution, administrative, general, and other expenses by 22.3%, amounting to SAR 23.7 million in 2022, compared to SAR 30.5 million during the previous year.
3- Zakat’s expenses decreased by 34.6% during 2022, reaching SAR 3.4 million, compared to SAR 5.2 million in the previous year.
4- An increase of 0.7% in dividends received from equity instruments at fair value through comprehensive income during the Year 2022, amounting to SAR 15.3 million, compared to SAR 15.1 million during the previous year.
Statement of the type of external auditor’s reportQualified opinion
Modification, Qualification or Emphasis of a Matter as Stated within the External Auditor OpinionQualified Opinion
In our opinion, except for the possible effects of the matters described in the Basis for Qualified Opinion section of our report, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Group as of 31 December 2022 and its consolidated financial performance and its consolidated cash flows for the year then ended in accordance with International Financial Reporting Standards (“IFRS”) that are endorsed in the Kingdom of Saudi Arabia and other standards and pronouncements issued by Saudi Organization for Chartered and Professional Accountants (“SOCPA”).

Basis for Qualified Opinion
As explained in Note (9), the Group’s investment balance in an associate company (International Medical Centre Company) amounted to 185,012,242 Saudi Riyals, which is accounted for using the equity method in the consolidated statement of financial position as of December 31, 2022. The Group’s share of the associate company’s net loss amounting to 24,813,186 Saudi Riyals in the statement of profit or loss of the Group and a profit of 8,986,697 Saudi Riyals in the statement of other comprehensive income of the Group for the year ending on that date. We were unable to obtain sufficient appropriate audit evidence regarding the recorded amount of the investment as of December 31, 2022, and the Group’s share in the net loss of the associate company for the same year, which was recognized according to the unaudited financial information of the associate company due to non-completion of their audit works. Accordingly, we were unable to determine whether any adjustments required to these amounts were necessary along with the effect on the whole financial statement.
Reclassification of Comparison ItemsN/A

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