The preliminary financial results of Ataa Educational Company showed a decrease in the company's net profit by 69.75% during the first quarter ending on October 31, 2020, compared to the same period in 2019.
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According to the financial statements of the company for the Saudi market (Tadawul), today, Wednesday, profits for the period amounted to about 4.92 million riyals, compared to 16.25 million riyals for the same period last year. .
The company attributed the decline in profits to a decrease in revenues of 25% as a result of granting additional discounts due to the suspension of studies in schools and the continuation of distance education. The increase in these discounts reached 108% for the quarter. The same year last year, and also because of the decrease in student numbers by 8% compared to the same quarter last year
also attributed the decline in profit to the decrease in other revenues 44% and the return to the cessation of student activities and additional enrichment lessons and the failure to operate the canteens as a result of the closure of schools due to the Corona pandemic, despite A decrease in operational costs of 15% compared to the same quarter of the previous year.
The company's profits fell on a quarterly basis by 83.6%, as it recorded about 29.92 million riyals in the fourth quarter of the fiscal year, noting that the company's financial year ends at the end of July of Every year.
