Savola Group — Interim / Quarterly Report 2014

Jul 16, 2014

Savola Group announces the interim financial results for the period ending on 30-06-2014 (Six Months)

2050 · 16/07/2014 15:57:02 · Announcement #35132 · View on Saudi Exchange

Savola Group announces the interim financial results for the period ending on 30-06-2014 (Six Months)

Element	Current quarter	Similar quarter for previous year	% Change current	Previous quarter	% Change previous
Net profit (loss)	513.3	387.8	32.36	423.3	21.26
Gross profit (loss)	1,289.8	1,263.6	2.07	1,115.2	15.66
Operational profit (loss)	694.4	648.1	7.14	540	28.59
All figures are in (Millions) Saudi Arabia, Riyals

Element	Current period	Similar period for previous year	% Change
Net profit (loss)	936.5	683	37.12
Gross profit (loss)	2,406	2,654.2	-
Operational profit (loss)	1,234.4	1,359.4	-
Earning or loss per share, Riyals	1.75	1.37	-
All figures are in (Millions) Saudi Arabia, Riyals

Element	EXPLAINATION
Reasons of increase (decrease) for quarter compared with same quarter last year	The increase in the Group net income for 2nd Q 2014 compared to the same quarter last year is attributed mainly due to the continued growth in revenues and outstanding performance of Retail Sector, increased share of net income and dividend income from some associates, and the positive impact of reduced zakat and income tax and minority interests. Despite the increase of financial charges.
Reasons of increase (decrease) for period compared with same period last year	The increase in the Group net income for the period ended June 2014 compared to the same period last year is attributed mainly to the continued growth in revenues, which reached SAR 14.121 Billion for this period compared to SAR 13.913 Billion for the same period last year in addition to the outstanding performance of Retail Sector, increased share of net income and dividend income from some associates, dividend income, and positive impact of reduced financial charges, zakat and income tax and minority interests.
Reasons of increase (decrease) for quarter compared with previous quarter	The increase for 2nd quarter 2014 net profit compared with the previous quarter is mainly attributed to the growth in revenues, increased share of net income from associates, dividend income, despite the increased financial charges, zakat and income tax and minority interests.
Reclassifications in quarterly financial results	Certain comparative figures have been reclassified to conform to this quarter presentation.
Other notes	Dr. Abdulraouf Mannaa, CEO & MD of Savola Group, highlighted that by the Grace of Allah, the 2nd quarter net income (without capital gain) reached SAR 496.4Million which is 21.1% higher than the announced forecast of SAR 410 Million, based on strong retail performance and good performance by the sister companies despite the challenges in overseas markets. These results are unprecedented for the second quarter for the Group. He indicated that Savola expects to achieve a net income before capital gains of SAR 460 Million for the third quarter of 2014, he also reiterated that the Group is poised to achieve its earlier announced forecast of SAR 1.8 Billion net income (before capital gain) for the full year 2014. God willing. Earnings per share for the six-month periods ended Jun 30, 2014 and 2013, have been computed by dividing the net income attributable to shareholders of the Company for such periods by the number of shares outstanding during such periods. The numbers of outstanding shares during Q2, 2013 were 500,000,000 shares, whereas the numbers of outstanding shares during Q2, 2014 are 533,980,684 shares due to capital increase which took place in November, 2013.

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