Zamil Industrial Investment Company Announces Its Interim Financial Results for Q2 of the year 2024 Period Ending 30 June 2024
30 June 2024

ELEMENT LIST CURRENT QUARTER SIMILAR QUARTER FOR PREVIOUS YEAR % CHANGE PREVIOUS QUARTER % CHANGE
Sales/Revenue 1,335,278 1,125,480 18.6% 1,304,419 2.4%
Gross Profit (Loss) 213,243 150,922 41.3% 199,453 6.9%
Operational Profit (Loss) 57,093 (158,501) 21,435 166.4%
Net Profit (Loss) 6,098 (184,094) 5,427 12.4%
Total Comprehensive Income (Loss) 5,220 (184,230) (15,459) -
All figures are in thousands of Saudi Riyals
ELEMENT LIST CURRENT Period Similar Period for Previous Year % CHANGE
Sales/Revenue 2,639,697 2,164,678 21.9%
Gross Profit (Loss) 412,696 301,617 36.8%
Operational Profit (Loss) 78,528 (142,249) -
Net Profit (Loss) 11,525 (197,906) -
Total Comprehensive Income (Loss) (10,239) (206,384) (95.0%)
Total Share Holders Equity (After Deducting the Minority Equity) 441,564 564,499 (21.8%)
Profit (Loss) per Share 0.19 (3.30) -
All figures are in thousands of Saudi Riyals
ELEMENT LIST Percentage of the Capital (%) Amount
Profit (Losses) Resulting from the Change in Investment Properties` Fair Value - -
All figures are in thousands of Saudi Riyals
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 18.6% due to sales growth across all sectors. AC sector grew by 29.8%, Steel sector grew by 16.0%, and Insulation sector grew by 6.3%.
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 Increase Summary

  1. Higher Sales across all sectors resulted in an increase in Gross Profit by 41.3%
  2. Higher Operating Income across all sectors
  3. Higher Share in Results from Associates and Joint Ventures by SAR 3.5 million
  4. Lower Finance Costs by SAR 3.3 million
  5. Lower Zakat and Income Tax by SAR 1.6 million

Increase is also due to accounting of SAR 162.7 million write-off of inventory due to fire which was recorded in Q2 2023.

However, the impact of the above is partly offset by income from discontinued operations of SAR 17.6 million which was accounted for in Q2 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 2.4% due to growth in Steel sector by 5%.
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 Sales in Steel sector resulted in an increase in Gross Profit by 6.9%
  2. Better Operating Income from AC and Steel sectors
  3. Lower Finance costs by SAR 2.8 million
  4. Lower provision for Expected Credit Loss (ECL) by SAR 36.8 million
  5. Higher Share in Results from Associates and Joint Ventures by SAR 0.9 million

However, the impact of the above is partly offset by lower other income by SAR 40.9 million which was accounted for in Q1 2024.

The reason of the increase (decrease) in the sales/ revenues during the current period compared to the same period of the last year is Consolidated Sales during the period increased by 21.9% due to Sales growth across all sectors. AC sector grew by 24.3%, Steel sector grew by 20.1% and Insulation sector grew by 12.4%.
The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is

Net Profit Increase Summary

  1. Higher Sales across all sectors resulted in an increase in Gross Profit by 36.8%
  2. Better Operating Income across all sectors
  3. Higher Other Income by SAR 31.8 million
  4. Higher Share in Results from Associates and Joint Ventures by SAR 5.8 million
  5. Lower Zakat and Income Tax by SAR 3.5 million

Increase is also due to accounting of SAR 171 million write-off of inventory due to fire and impairment loss on non-current assets which was recorded in H1 2023.

However, the impact of the above is partly offset by lower income from discontinued operations of SAR 39.4 million which was accounted for in H1 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 year.
Additional information None