Herfy Food Services Company (Herfy Food) recorded a 65.12% decline in profits for the third quarter of 2022 to reach about 20.9 million riyals after zakat and tax, compared to 60.06 million riyals in the same quarter of 2021.
According to Arabia Net, Herfy Food's net profit increased on a quarterly basis by 3.71% in the third quarter of 2022, compared to 20.19 million riyals in profits for the second quarter of 2022.
The company said in a statement that the reason for the decrease in net profit for the second quarter of 2022 compared to the net profit for the second quarter of 2021 is due to a 12% decrease in sales, in addition to an increase in the cost of sales, which is mainly due to higher material costs, which affected profit margins. In addition to an increase in general and administrative expenses, despite an increase in other revenues, a decrease in selling and marketing expenses, financing expenses, and a decrease in Zakat expense.
Herfy Food's net profit decreased by 38.02% during the nine months ended September 30, 2022, to about 69.53 million riyals, compared to 112.2 million riyals, profits in the comparable period of 2021.
