The financial statements of the Saudi Ground Services Company showed the company converting to a loss at the end of the first quarter of this year compared to the same period in 2019.
According to the results of the company for the Saudi market (Tadawul) today, Sunday, the loss for the period amounted to 51.54 million riyals, compared to the profits for the first quarter of last year amounting to 104.12 million riyals. p>
The company said that the negative shift in the results during the comparison periods is mainly due to the suspension of international and domestic flights as a result of the precautionary measures taken by the government due to the Corona pandemic.
She explained that this suspension of trips had a direct impact that led to a decrease in revenue by 15.9%, which also negatively affected the increase in provisions for receivables by 47 million riyals. < / p>
In addition to the direct effects of the pandemic, it indirectly affected the company’s investments, as the investments at the fair value of the current quarter recorded losses amounting to 18.6 million riyals.
The company also recorded additional losses amounting to 16.2 million riyals as a result of investing in a company invested in the equity method.
Despite the current challenges, the company was able to reduce operating expenses by 24.4 million riyals, and administrative expenses by 5 million riyals compared to the same quarter for the previous year.
