Advanced Building Industries Co. — Earnings Release 2010

Feb 21, 2011

ZAMIL INDUSTRIAL ANNOUNCES ITS AUDITED FINANCIAL RESULTS FOR YEAR ENDING 31/12/2010

2240 · 21/02/2011 16:21:27 · Announcement #20408 · View on Saudi Exchange

ZAMIL INDUSTRIAL ANNOUNCES ITS AUDITED FINANCIAL RESULTS FOR YEAR ENDING 31/12/2010

Zamil Industrial Investment Company (Zamil Industrial) announces its consolidated financial statements (audited) for the year ending 31/12/2010:

1.Net profits for the year were SAR 211.1 million compared to SAR 230.1 million, representing a decrease of 8.3 percent over the same period in 2009.

2.Earnings per share retracted to SAR 3.52 from SAR 3.84 in the same period in 2009. EPS for the last year was recalculated based on 60 million shares due to capital increase on 31/03/2010.

3.Gross profits were SAR 995.4 million compared to SAR 951.8 million for the same period in 2009, an increase of 4.6 percent.

4.Operating profits were SAR 287.4 million compared with SAR 369.4 million for the same period in 2009, a decline of 22.2 percent.

5.The results indicate improvement in gross profits during the year. They were mainly due to better margins because of overall efficiency improvements. Sales value marginally declined which was anticipated and expected. This was due to lower selling prices although sales volumes increased. Net profits declined due to lower selling prices which affected margins slightly. The retraction in operating income was due to increase in fixed costs because of growing demand on maintenance services in the air conditioning sector. Moreover, new ventures launched in the past two years started to show promising results.

Abdulla Al Zamil, CEO, stated that despite the slowdown in the building & construction industry, we are well positioned to capture a considerable market share of local and regional projects and expansions. The balanced business portfolio of Zamil Industrial has managed to sustain the performance especially in the Air Conditioning and Insulations sectors which achieved record results in 2010. The company operations are strategically located in geographies to cover global demand with emphasis on emerging markets like India, Africa and South Asia and Far East regions.

6.Certain figures for 2009 have been reclassified to conform with the presentation in the current year.

7.It is worth mentioning that the Board has recently recommended distribution of second half 2010 dividends at SAR 0.75 per share. Dividends eligibility are for shareholders registered at the close of trading on the general assembly date which will be decided later. This brings the total distribution for the year ending 31/12/2010 to SAR 90 million at SAR 1.50 per share representing 15% of paid-up capital.

The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.