Savola Group — Interim / Quarterly Report 2018

May 9, 2018

Savola Group announces the interim financial results for the period ending on 31-03-2018 (Three Months)

2050 · 09/05/2018 15:14:53 · Announcement #50769 · View on Saudi Exchange

Savola Group announces the interim financial results for the period ending on 31-03-2018 (Three Months)

Element	Current quarter	Similar quarter for previous year	% Change current	Previous quarter	% Change previous
Net profit (loss)	-	4.8	-	-	-
Gross profit (loss)	945.7	1,040.1	-	1,152	-
Operational profit (loss)	57.5	138.9	-	88.8	-
Earning or loss per share, Riyals	-	0.01	-	-	-
All figures are in (Millions) Saudi Arabia, Riyals

Element	EXPLAINATION
Reasons of increase (decrease) for quarter compared with same quarter last year	The recorded net loss for the 1st Quarter 2018 compared to the net income achieved for same quarter last year is attributed mainly to the following: - lower gross profit due to lower sales of food and retail sector; - higher share of loss from an associate; - higher net finance cost; and - the impact of share of minority - Non recurring net positive impact of the gain from discontinued operations, net recognized in Q1 2017. The results were improved by the following: - lower operating cost; - lower zakat and tax expense; and - The gain on disposal of investment
Reasons of increase (decrease) for quarter compared with previous quarter	The recorded loss for the 1st Quarter 2018 compared to the loss in 4th Quarter 2017 is mainly due to the following: - lower gross profit margin; - lower share of profit from associates; - higher zakat and tax; - higher operating cost; and - the impact of share of minority. The results were improved by the following: - lower net finance cost; - gain on disposal of investment and; - impairment loss recorded in Q4 2017
Reclassifications in quarterly financial results	Items, elements and notes of the comparatives Condensed Consolidated Interim Financial Statements have been redisplayed, regrouped and reclassified to meet with the applied accounting policies for the current period, which have been prepared according to the International Financial Reporting Standards (IFRS) that are endorsed in the Kingdom of Saudi Arabia. For more information, please refer to note 17 (New standards and amendments to standards) in the Condensed Consolidated Interim Financial Statements for the period ended March 31, 2018 and March 31, 2017.
Other notes	The total comprehensive loss for the 1st quarter, attributable to Shareholders of the Company, reached SAR 206.4 million, as compared to the total comprehensive income of SAR 10.8 million in the corresponding quarter of the last year and as compared to the previous quarter total comprehensive loss of SAR 423.6 million, a decrease of 51.3% The net revenues for Q1 2018 reached SAR 5.1 billion compared to SAR 5.8 billion for the same quarter of last year, a decline of -12.1%. The equity attributable to shareholders of the parent Company (without minority interest) for Q1 reached SAR 8.6 billion compared to SAR 8.8 billion for the same quarter of last year representing a decrease of 2.3%. We would like to inform the investors that the condensed consolidated interim financial statements of the Group for the first quarter ended March 31, 2018 will be uploaded on Savola website after submitting it to the concerned authorities, and can be accessed through the following link: http://www.savola.com/SavolaE/Financial_Reports.php

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