The losses of Emaar, the Saudi economic city, Emaar, decreased by 13.17% in the second quarter of 2021, to record about 178 million riyals, compared to about 205 million riyals, losses for the same quarter of 2020.
According to Arabiya Net, Emaar's losses decreased by 8.25% in the second quarter of this year, compared to losses of about 194 million riyals in the first quarter of 2021.
The company said in a statement on the Saudi Tadawul, today, Thursday, that the reason for the decrease in the total comprehensive loss of 33 million riyals during the second quarter of 2021, compared to the same quarter of 2020, mainly due to the decrease in general and administrative costs and selling and marketing costs by 23 million riyals, mainly due to several cost rationalization measures, including reducing the cost of employees.
The company indicated a decrease in financing burdens by 13 million riyals during the second quarter of 2021, mainly due to the decrease in the total interbank interest rates in the Kingdom. Saudi Arabia (SAIBOR), and an increase in the Group’s share in the results of its investee, Ports Development Company (PDC), by SAR 7.3 million mainly due to improvement in port operations as well as positive changes in the reassessment of interest rate swap arrangements made by Tatweer Ports.
The results were also affected by a decrease in the overall losses to the hospitality sector due to the easing of restrictions imposed on the effects of the COVID-19 pandemic.
Emaar's losses decreased by 23.5% in the first half of 2021, to 372 million riyals, compared to 486 million riyals losses in the first half of 2020.
Emaar stated that its accumulated losses amounted to about 3.027 billion riyals at the end of the first half of this year, adjusting 35.6% of the capital of 8.5 billion riyals.
