Bin Dawood Holding Company recorded a 46.27% decrease in net profits for the year 2021, to reach 240.56 million riyals after zakat and tax, compared to 447.72 million riyals in 2020.
According to Arabiya Net, the company attributed the decline in profits to a 15% decline in revenues to 4.38 billion riyals in 2021, compared to 5.16 billion riyals in 2020.
She pointed to the decline in sales of Danube and BinDawood stores due to the decline in store sales in the first half of 2021 when compared to the same period of 2020, as it benefited greatly from Impulsive buying behavior that occurred in response to the closure measures taken to limit the spread of the Corona pandemic and hedging before the decision to raise the value of the value-added tax came into effect.
She added that the company's sales continued to be affected as a result of the restrictions imposed on travel movement as part of the precautionary measures to combat the pandemic, which led to a decrease in the number of pilgrims and Umrah pilgrims during the seasons of Umrah, Hajj and Ramadan, and restrictions. On stores in the regions of Makkah and Madinah, in addition to not implementing promotional campaigns such as the back to school campaign, the end of the year and food festivals.
In a separate statement, Bin Dawood Holding Company announced the distribution of cash dividends to shareholders for the second half of 2021, with a total of about 74.29 million riyals for 114.3 million shares.
The dividend per share is 0.65 riyals, with a distribution ratio of 6.5% to the nominal value of the share.
Eligibility for profits will be for the shareholders who own shares in the company at the end of trading on Sunday, April 3, 2022, and who are registered in the bank's shareholders register with the Securities Depository Center Company (Edaa) at the end of the second A trading day following the due date.
Distribution date is April 10, 2022.
