20 Apr

Fitaihi Holding Group announces the interim consolidated financial results for the period ending on 31-03-2015 (Three Months)

By Announcement
ELEMENT CURRENT QUARTER SIMILAR QUARTER FOR PREVIOUS YEAR % CHANGE CURRENT PREVIOUS QUARTER % CHANGE PREVIOUS
Net profit (loss) 18,502,886 24,130,412 -23.32 8,733,412 111.86
Gross profit (loss) 37,723,671 45,810,097 -17.65 32,074,635 17.61
Operational profit (loss) 11,077,771 19,493,439 -43.17 2,074,185 434.08
Earning or loss per share, Riyals 0.34 0.44 – – –
All figures are in Saudi Arabia, Riyals
ELEMENT EXPLAINATION
Reasons of increase (decrease) for quarter compared with same quarter last year The decline in net profits in the current quarter compared to the same quarter of last year is mainly due to the decrease in sales by 7.8%, as the Group achieved sales amounting to 68.9 million SAR in the first quarter of the Year 2015, compared with sales amounting to 74.8 million SAR in the same quarter of last year.
This decrease in sales led the gross profit of sales declined, with an amount of 3 million SAR, to 33.6 million SAR in the first quarter of the Year 2015, compared with an amount of 36.7 million SAR in the same quarter of last year.
In addition to the increase in total expenses, by 1.3%, totalling 26.6 million SAR in the first quarter of the Year 2015, compared with an amount of 26.3 million SAR in the same quarter of last year.
Moreover, the investment earnings, decreased by 55.3%, totalling 4.1 million SAR in the first quarter of the Year 2015, compared with an amount of 9.1 million SAR in the same quarter of last year.
The positive effect resulted from registering the Group’s share in the profits of an associated company (the International Medical center or IMC ) reduced the negative effect of the above mentioned. The Group registered it’s share in the profits of the IMC which amounted to 8.9 million SAR in the first quarter of the Year 2015, with an increase of 38.6%, compared with profits amounted to 6.4 million SAR in the same quarter of last year. Worth mentioning that the Group started to apply the equity method of accounting for its investment in the IMC starting from the first quarter of the Year 2015; due to a significant influence resulting from the appointment of two representatives of Fitaihi Holding Group in the board of the IMC. The investment balances, retained earnings and financial results have been retroactively restated in the current quarter and same quarter of last year.
Zakat has declined, with an amount of 270,000 SAR, by 14.2% in the first quarter of the Year 2015, compared with the same quarter of last year, which helped in reducing the negative influence of the decrease in net profits.
Reasons of increase (decrease) for quarter compared with previous quarter The increase in net profits in the first quarter of the Year 2015, compared with the net profits of the fourth quarter of the Year 2014 (the previous quarter) is mainly due to the achievement of investment earnings amounting to 4.1 million SAR in the first quarter of the Year 2015, while the Group didn’t achieve any investment earnings in the fourth quarter of the Year 2014.
In addition to the increase in gross profits of sales, by 4.9%, totalling 33.6 million SAR in the first quarter of the Year 2015, compared with an amount of 32.1 million SAR in the fourth quarter of the Year 2014 (the previous quarter), with an increase of 1.6 million SAR; despite the decrease in sales by 3.7%.
The total expenses decreased by 11.2% totalling 26.6 million SAR in the first quarter of the Year 2015, compared with an amount of 30 million SAR in the fourth quarter of the Year 2014 (the previous quarter).
Moreover, the Group registered its share in the profits of an associated company, the IMC, which amounted to 8.9 million SAR in the first quarter of the Year 2015, with an increase of 38.6%, compared with profits amounted to 6.4 million SAR in the fourth quarter of the Year 2014 (the previous quarter). The Financial results have been retroactively restated in the fourth quarter of the Year 2014 (the previous quarter) for comparison issues.
Reclassifications in quarterly financial results Certain comparative figures been reclassified to conform with the presentation of the current period. The Group started to apply the equity method of accounting for its investment in the IMC starting from the first quarter of the Year 2015. Hence, the Group’s share in the net profits of the IMC has been registered and the investment accounting of this share has been adjusted accordingly. The investment balances, retained earnings and financial results have been retroactively restated in the current quarter and comparative periods.

Author