The National Agricultural Development Company (Nadec) turned to losses in the third quarter of 2020, after recording a net loss after zakat and tax of 44.89 million riyals, compared to a profit of 49.32 million SAR in the same quarter of 2019.
According to Arabiya Net, the company clarified in a statement that the reason for achieving a net loss in the third quarter is due to the impairment losses of property, machinery and equipment, resulting from the evaluation of the value of use (VIU). ) For the assets related to the Sudan project.
and indicated that the losses are also due to the increase in the cost of materials due to the elimination of government subsidies on animal feed, the increase in selling and marketing expenses, and administrative and general expenses.
She also pointed out that the losses came despite the increase in revenues, and the lower cost of financing resulting from lower interest rates and lower loans and bank facilities.
Nadec's profits jumped in the first nine months of 2020, to 104.92 million riyals compared to 52.71 million riyals for the same period in 2019, an increase of 99%.
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