Halwani Brothers Company recorded a decline in net profits by 44% to reach 14 million riyals in the third quarter of 2021, compared to 25.04 million riyals during the same period last year.
According to Arabia Net, revenues during that period decreased by 7.5% to reach 236.9 million riyals.
The reason for the decrease in net profit during that period is due to the decrease in the company's revenues in Saudi Arabia during the current quarter compared to unusual sales for the same quarter of the previous year due to the impact variable (Covid-19). -19) Despite the increase in the revenues of the subsidiary company in Egypt.
The decline was also attributed to the rise in the costs of raw materials and the increase in the percentage of discounts and incentives granted to customers and consumers due to the weak purchasing power of consumers due to the precautionary measures.
The selling and marketing expenses increased during the current quarter compared to the same quarter of the previous year as a result of the company's launching a marketing campaign according to the company's strategic plan and to support the launch of new products.
During the first nine months of this year, the company's profits fell by 19.3% to 65.68 million riyals, while revenues declined by 2.7% to 792.1 million riyals.
