Scientific & Medical Equipment House Co. announces its Interim Financial Results for the Period Ending on 31-03-2024 (Three Months)

Element List
Current Quarter
Similar Quarter For Previous Year
%Change
Previous Quarter%Change
Sales/Revenue
217.8
164.9
32.08
231.8
-6.039
Gross Profit (Loss)
37.7
30.9
22.006
35.3
6.798
Operational Profit (Loss)
15.5
12.3
26.016
23.1
-32.9
Net profit (Loss)
8.3
6.3
31.746
12.9
-35.658
Total Comprehensive Income
8.3
6.3
31.746
13.2
-37.121

All figures are in (Millions) Saudi Arabia, Riyals


Element List
Current Period
Similar Period For Previous Year
%Change
Total Share Holders Equity (After Deducting the Minority Equity)
515.1
474.9
8.464
Profit (Loss) per Share
0.29
0.23

All figures are in (Millions) Saudi Arabia, Riyals


Element List
Percentage Of The Capital (%)
Amount
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value
--

All figures are in (Millions) Saudi Arabia, Riyals


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
The company's revenues increased by 32% during the current quarter compared to the same quarter of the previous year, due to the following:
• Receiving and commencing 10 new projects after the first quarter of 2023 that had been announced during previous periods, especially in the medical and non-medical employment and subsistence sectors, which led to an increase in operating revenues.
• An increase in sales of the medical equipment and devices by 75% compared to the same quarter of the previous year.

Several projects have been awarded to the company (they were announced during the last period), and most of these projects will be taken over during the remaining period of 2024, which will positively impact the company’s results before the end of the current year 2024 and the coming years.


The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is
In line with the increase in revenues mentioned in the previous paragraph, net profit increased in the current quarter of 2024 by the same proportion 32% compared to the first quarter of 2023.

The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the previous one is
The company's revenues decreased 6% during the current quarter compared to the previous quarter. This is due to recording revenues amounting to 14.1 million riyals from projects that were carried out through direct purchasing and were finally approved in the previous quarter.

The reason of the increase (decrease) in the net profit (loss) during the current quarter compared to the previous one is
Net profit decreased by 36% during the current quarter compared to the previous quarter, due to the following:
• Reversing SR 10.5mil provision for expected credit losses during the previous quarter in compliance with International Financial Reporting Standard No. (9) to measure expected credit losses for commercial receivables and contract assets.
• As mentioned previously, additional net revenues were booked for projects that were carried out using the direct purchasing system and were approved during the previous quarter, at the time amount to SR 5.8 million.

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)
N/A

Reclassification of Comparison Items
N/A

Additional Information
Earnings per share were adjusted after increasing the company's capital, which was approved by the company's extraordinary general assembly held on September 3, 2023, where the extraordinary general assembly approved an increase in the company's capital by 100 million Saudi riyals, with a corresponding increase in the number of issued ordinary shares. The company issued 10 million shares without nominal value.

This increase was achieved through capitalization of the company's retained earnings. Each shareholder was given one bonus share for every two shares held. The company's capital after the increase amounts to 300 million Saudi riyals, divided into 30 million fully paid ordinary shares with equal voting rights and no nominal value.

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