Abdul Mohsen Al-Hokair Group for Tourism and Development revealed, today, Sunday, that there was a jump in net profits in the second quarter of 2020, compared to the same quarter of 2019, as the company reduced its accumulated losses.
And the company confirmed in a statement today, Sunday, on “Tadawul”, the increase in net profit after zakat and tax to 2.07 million riyals compared to 630 thousand riyals for the second quarter of last year, an increase of 228.57%.
The company attributed the increase in net profit to a decrease in total expenses and direct costs, as a result of obtaining exemptions from the rental value, and a decrease in the depreciation expense of right-of-use assets, salaries, wages, sales and marketing expenses.
At the level of the first half of 2020, the company recorded a net profit of 4.18 million riyals, compared to 31.44 million riyals net losses for the same period in 2019.
The accumulated losses of the company at the end of June 2020 were about 98 million riyals, representing 17.82% of the capital of 550 million riyals.
The financial results of the Arab Insurance Company in the first quarter of 2020 showed its shift to profitability, with a net profit of about 2.11 million riyals, compared to a loss of 32.06 million riyals in the same quarter of 2019.