|Reasons of increase (decrease) for quarter compared with same quarter last year||The increase in net loss is due to drop in sales by 16.6% due to slowdown in some sectors of the economy, in association with an increase in operating expenses by SR 6.8 million due to certain non-recurring expenses that have been incurred during the current period as consultancy and the wages due to restructuring of some of the operating units in the Company to reflect future return on its operations. In addition, the losses from associates amounted to SR 4.9 Million as compared to profits of SR 1.4 M and the increase in the financial charges by SR 9 million as compared to same quarter 2015. However, while sales dropped in the current quarter, the gross profit has increased by 15.8 % as compared to same quarter in 2015, due to lower cost of sales, which also impacted a positive improvement in the operating profit for the current quarter compared with the same quarter in 2015.|
|Reasons of increase (decrease) for period compared with same period last year||The decrease in current period net, Operational and Gross profits is due to the drop in sales by approximately 13 %, and increase in sales and distribution expenses by 7.8 Million to stimulate sales and to maintain the Company market share. In addition, there is decline in the income from share of results in associates by SR 34 million and an increase in the financial charges by SR 13.6 million despite an increase in other incomes by 4.4 million from sales of fully depreciated assets and reversal in provisions.|
|Reasons of increase (decrease) for quarter compared with previous quarter||The loss at both net and operational profits levels, and the decline of 26.4 % at the gross profit level compared to the previous quarter is attributed to the drop in sales by 22.1% in the current quarter, and the increase in the sales and distribution expenses by 6.7 Million to stimulate sales, in addition to the losses increase from associates amounted to 4.6 Million and the increase of the financial charges by 1.9 Million.|
|Other notes||Total sales for the current quarter amounted SR 312.5 Million as compared to SR 374.7 Million for the same quarter of the previous year, a decrease of 16.6%. Total sales for the current period amounted SR 1,642.7 Million as compared to SR 1,886.5 Million for the same period last year, a decrease of 12.9%. Total shareholders’ equity As of December 31, 2016 amounted SR 1,071 Million, compared to SR 1,074 Million As of December 31, 2015, a decrease of 0.3 %.|
For the purpose of comparison we have presented the Q4 numbers based on the audited financial statements for 2015 instead of Q4 reviewed figures.