Al-Yamamah Steel Industries (Al-Yamamah Steel) turned to achieving a net profit of 50.66 million riyals after zakat and tax during the fiscal year ending on September 30, 2020, compared to losses of about 39.88 million riyals in the previous fiscal year.
According to Arabiya Net, the company said in a statement that the shift to profitability is due to the increase in revenues by 94.67% compared to the previous year as a result of the increase in the quantity and value of sales of the construction sector by 105.5% and 95.2% respectively supported by the competitive strength of the cost of rebar and pipes and meeting market needs during the Corona pandemic.
is also due to the increase in the quantity and value of the electricity sector sales by 115.5% and 92.4%, respectively, due to the improvement in sales of towers and columns and the increase in the sales of the Yamama plant for solar energy systems and the output On compliance with the supply schedules of the Dubai Garden project.
Al-Yamamah Steel indicated that selling and distribution expenses increased by 127.6% and an amount of 24.40 million riyals during the current year, due to the increase in domestic and export shipping expenses, and despite the decrease in operating revenues The other by 97.1% and an amount of 15.44 million riyals, and the main reason for this is that the previous year included a no-purpose provision amounting to 14.15 million riyals.
and explained that it has turned to profitability despite the increase in zakat expense by 87.3% and the amount of 6.57 million riyals during the current year. The financial burdens of the company and maintaining the stability of its employees.
and the company's fiscal year begins on the first of October until the end of September of the following year.
