Fitaihi Holding Group announces its Interim Consolidated Financial Results for the Period Ending on 2020-06-30 (Six Months)
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| ELEMENT LIST | CURRENT QUARTER | SIMILAR QUARTER FOR PREVIOUS YEAR | %CHANGE | PREVIOUS QUARTER | % CHANGE |
|---|---|---|---|---|---|
| Sales/Revenue | 5,624,255 | 28,608,635 | -80.34 | 14,946,239 | -62.37 |
| Gross Profit (Loss) | -2,904,701 | 18,490,434 | – | 7,582,193 | – |
| Operational Profit (Loss) | -9,469,959 | 8,762,692 | – | -451,692 | 1,996.552 |
| Net Profit (Loss) after Zakat and Tax | -16,867,659 | 7,452,781 | – | -2,414,513 | 598.594 |
| Total Comprehensive Income | -16,464,196 | 2,430,046 | – | -21,861,157 | -24.687 |
| All figures are in (Actual) Saudi Arabia, Riyals |
| ELEMENT LIST | CURRENT PERIOD | SIMILAR PERIOD FOR PREVIOUS YEAR | %CHANGE |
|---|---|---|---|
| Sales/Revenue | 20,570,494 | 58,027,752 | -64.55 |
| Gross Profit (Loss) | 4,677,492 | 34,560,503 | -86.465 |
| Operational Profit (Loss) | -9,921,651 | 15,918,897 | – |
| Net Profit (Loss) after Zakat and Tax | -19,282,172 | 13,010,705 | – |
| Total Comprehensive Income | -38,325,353 | 16,277,557 | – |
| Total Share Holders Equity (after Deducting Minority Equity) | 569,211,990 | 634,997,143 | -10.359 |
| Profit (Loss) per Share | -0.35 | 0.24 | |
| All figures are in (Actual) 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 reason for achieving a net loss during the second quarter of the year 2020, compared to net profit during the second quarter of the year 2019, is mainly due to the following: 1- A decrease in sales during the second quarter of the year 2020, compared to the second quarter of the year 2019, by 47.8%.This is mainly due to the complete closure of points of sale from mid-March 2020 until the end of April 2020, then reducing working hours in May and June 2020 as part of the preventive and precautionary measures in the Kingdom of Saudi Arabia to address the ramifications of COVID-19. 2- The decline in the sales profit margin during the second quarter of the year 2020 to reach 9.1%, compared to 43.7% during the second quarter of the year 2019. This reflects the effect of recording a decrease in the value of the stock by 3.4 million SAR, for the sake of reducing the obsolete stock. 3- A decrease of 99.9% in the dividends from investments; as it amounted to 4.7 thousand SAR during the second quarter of the year 2020, compared to 7.8 million riyals during the second quarter of the year 2019. This is because the profits distributed from the investments were received during the second quarter of the year 2019, while the profits distributed from those investments were received during the third quarter of the year 2020, an amount of 7.1 million SAR. 4- The Company’s share in the business results of associates, during the second quarter of the year 2020, amounted to a loss of 3.8 million SAR, compared to profits of 2.8 million SAR during the second quarter of the year 2019. This is mainly due to the impact on these Companies from mid-March 2020 until the end of June 2020, in light of the preventive and precautionary measures in the Kingdom of Saudi Arabia to address the ramifications of COVID-19. 5- An increase in Zakat expense during the second quarter of the year 2020 by 68.8%, to reach 2 million SAR, compared to 1.2 million SAR during the second quarter of the year 2019. 6- Achieving losses from discontinued operations amounting to 5.6 million SAR during the second quarter of the year 2020, compared to 8.4 thousand SAR during the second quarter of the year 2019, as a result of the Group’s exit decision to sell its share in the capital of the subsidiary Luxury Goods Trading Company Ltd. (LGTC Ltd.). This is despite the decrease in sales, distribution, and administrative expenses by 32.5%, as well as a decrease in other expenses during the second quarter of the year 2020, compared to the second quarter of the year 2019, by 49.4%. The net comprehensive loss attributable to the shareholders of the Group for the second quarter of the year 2020, ending on June 30, 2020, amounted to 16.5 million SAR, compared to a net comprehensive income of 2.4 million SAR in the same quarter of the previous year. |
| Increase (Decrease) in Net Profit for Current Quarter Compared to the Previous Quarter is Attributed to | The reason for the decrease in the net loss for the second quarter of the year 2020, compared to the net loss for the first quarter of the year 2019 (the previous quarter) is due to the following: 1- A decrease in sales during the second quarter of the year 2020, compared to the first quarter of the year 2020, by 26.6%. This is mainly due to the complete closure of points of sale from mid-March 2020 until the end of April 2020, then reducing working hours in May and June 2020 as part of the preventive and precautionary measures in the Kingdom of Saudi Arabia to address the ramifications of COVID-19. 2- A decrease in the sales profit margin during the second quarter of the year 2020 to reach 9.1% compared to 42.4% during the first quarter of the year 2020. This reflects the impact of recording a decrease in the value of the stock by 3.4 million SAR, for the sake of reducing the obsolete inventory. 3- The Company’s share in the business results of associates during the second quarter of the year 2020, amounted to a loss of 3.8 million SAR compared to profits of 2.2 million SAR during the first quarter of the year 2020. This is mainly due to the impact on these companies from mid-March 2020 until the end of June 2020, because of the preventive and precautionary measures in the Kingdom of Saudi Arabia to address the ramifications of COVID-19. 4- An increase in Zakat expense during the second quarter of the year 2020, by 68.8%, to reach 2 million SAR, compared to 1.2 million SAR during the first quarter of the year 2020. 5- Achieving losses from discontinued operations amounting to 5.6 million SAR during the second quarter of the year 2020, compared to 0.87 million SAR during the first quarter of the year 2020, as a result of the Group’s exit decision to sell its share in the capital of the subsidiary, the Luxury Goods Trading Company Ltd. This is despite a decrease in sales, distribution, and administrative expenses by 18.3%, as well as a decrease in other expenses for the second quarter of the year 2020, compared to the first quarter of the year 2020, by 25.5%. The net comprehensive loss attributable to the shareholders of the Group for the second quarter of the year 2020, ending on June 30, 2020, amounted to 16.5 million SAR, compared to a comprehensive net loss of 21.9 million SAR in the first quarter of the year 2020. |
| Increase (Decrease) in Net Profit for Current Period Compared to the Similar Period of the Previous Year is Attributed to | The reason for achieving a net loss during the first half of the year 2020, compared to net profit during the first half of the year 2019, is mainly due to the following: 1- A decrease in sales during the first half of the year 2020, compared to the second quarter of the year 2019, by 43.3%. This is mainly due to the complete closure of points of sale from mid-March 2020 until the end of April 2020, then reducing working hours in May and June 2020 as part of the preventive and precautionary measures in the Kingdom of Saudi Arabia to address the ramifications of COVID-19. 2- The decline in the sales profit margin during the first half of the year 2020 to reach 28.3%, compared to 40% during the first half of the year 2019. This reflects the effect of recording a decrease in the value of the stock by 3.4 million SAR, for the sake of reducing the obsolete inventory. 3- A decrease of 99.9% in the dividends from investments; as it amounted to 5.7 thousand SAR during the first half of the year 2020, compared to 7.8 million SAR during the first half of the year 2019. This is because the profits distributed from the investments were received during the second quarter of the year 2019, while the profits distributed from those investments were received during the third quarter of the year 2020, an amount of 7.1 million SAR. 4- The Company’s share in the business results of associates, during the first half of the year 2020, amounted to a loss of 1.6 million SAR compared to profits of 11.1 million SAR during the first half of the year 2019. This is mainly due to the impact on these Companies from mid-March 2020 until the end of June 2020, in light of the preventive and precautionary measures in the Kingdom of Saudi Arabia to address the ramifications of COVID-19. 5- An increase in Zakat expense during the first half of the year 2020 by 34.4%, to reach 3.2 million SAR, compared to 2.4 million SAR during the first half of the year 2019. 6- Achieving losses from discontinued operations amounting to 6.5 million SAR during the first half of the year 2020, compared to 0.46 thousand SAR during the first half of the year 2019, as a result of the Group’s exit decision to sell its share in the capital of the subsidiary Luxury Goods Trading Company Ltd. (LGTC Ltd.). This is despite the decrease in sales, distribution, and administrative expenses by 21.7%, as well as a decrease in other expenses during the first half of the year 2020, compared to the first half of the year 2019, by 13%. The net comprehensive loss attributable to the shareholders of the Group for the first half of the year 2020, ending on June 30, 2020, amounted to 38.3 million SAR, compared to a net comprehensive income of 16.3 million SAR in the same period of the previous year. |
| Basis of the External Auditor’s Opinion | Unmodified opinion |
| Reclassification of Comparison Items | Certain prior period figures have been reclassified to conform with the presentation of the current period. |
