The financial statements of Abdullah Al-Othaim Markets Company showed an increase in the company's profits in the first half of the current year by 76.9% compared to the profits of the same period last year.
According to the company's results for the Saudi market (Tadawul) today, Monday, the profits for the period amounted to 224.8 million riyals, compared to the profits of the first half of last year amounting to 127.07 million riyals.
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The company said in a statement to the Stock Exchange that the increase in profits during the comparison periods is due to the growth of sales of 19.9% driven by the increase in customers' demand to buy food and supplies during the closures imposed by the government To limit the spread of the Coronavirus pandemic.
Also, most customers spend the Eid Al-Fitr holiday and the following days of the summer in the Kingdom due to the Corona pandemic.
also increased customer demand for purchases before the application of the increase in the VAT rate as of July 1, 2020, in addition to an improvement in the profit margin and savings in some cost elements as a result of benefit Of government initiatives to mitigate the effects of the Corona pandemic.
On the other hand, the real estate activity of the company was negatively affected by the closure, as the company granted discounts to tenants for the closing periods, and the operations of subsidiaries and associates were negatively affected by the closure due to the Corona pandemic.
The company achieved profits of 125.25 million riyals in the second quarter of this year, compared to a profit of 58.73 million riyals for the same period last year, with an increase in profits by 99.6% .
(Amazon Fun Knowledge)
