Zamil Industrial Investment Company Announces Its Interim Financial Results for the Three-Month Period Ending 31 March 2024

ELEMENT LIST	EXPLANATION
The reason of the increase (decrease) in the sales/revenues during the current quarter compared to the same quarter of the last year is	Consolidated Sales during the period increased by 25.5% due to Sales growth across all sectors. The Steel sector grew by 24.7%, the AC sector grew by 19.1%, and the Insulation sector grew by 18.8%.
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	Net Profit increased due to: 1) Higher Sales across all sectors resulted in an increase in Gross Profit by 35.9%; 2) Higher Operating Income in Steel and Insulation sectors; 3) Higher Other Income by SAR 43.2 million mainly due to income from sale of damaged items during the fire incident during Q1 2023; 4) Higher Share in Results from Associates and Joint Ventures by SAR 2.3 million; 5) Lower Zakat and Income Tax by SAR 1.8 million. However, the impact of the above is partly offset by higher provision for Expected Credit Loss (ECL) by SAR 38.4 million and lower income from discontinued operations of SAR 21.8 million was accounted for in Q1 2023.
The reason of the increase (decrease) in the sales/revenues during the current quarter compared to the previous one is	Consolidated Sales during the period increased by 0.8% due to sales growth in the AC sector by 36%. However, sales reduced in the Steel sector by 14% and in the Insulation sector by 3%.
The reason of the increase (decrease) in the net profit (loss) during the current quarter compared to the previous one is	Net Profit increased due to: 1) Higher Gross Profit Margin in the AC and Insulation sectors; 2) Better operating profitability across all sectors; 3) Lower provision for Expected Credit Loss by SAR 79.5 million; 4) Lower Financial charges by SAR 7 million; 5) Lower Zakat and Tax by SAR 8.2 million; However, the impact of the above is partly offset by the income from insurance claim of SAR 183.2 million which was accounted in Q4 2023
Statement of the type of external auditor's report	Unmodified Conclusion
Comment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion)	None
Reclassification of Comparison Items	Comparative figures have been reclassified to conform with the presentation in the current period.
Additional information	–

ELEMENT LIST	CURRENT QUARTER	SIMILAR QUARTER FOR PREVIOUS YEAR	% CHANGE	PREVIOUS QUARTER	% CHANGE
Sales/Revenue	1,304,419	1,039,198	25.52%	1,293,685	0.829%
Gross Profit (Loss)	199,453	146,776	35.88%	107,187	86.079%
Operational Profit (Loss)	21,435	16,252	31.89%	(187,957)	–
Net Profit (Loss) after Zakat and Tax	5,427	(13,812)	–	(66,767)	–
Total Comprehensive Income	(15,459)	(22,154)	(30.22)	(78,577)	(80.326%)

ELEMENT LIST	CURRENT PERIOD	SIMILAR PERIOD FOR PREVIOUS YEAR	% CHANGE
Total Shareholders' Equity (after deducting minority equity)	436,344	748,729	-41.722%
Profit (Loss) per Share	0.09	(0.23)	–