Riyadh – Mubasher: Arriyadh Development Company reported an 18% decline in net profit for the first quarter (Q1) of 2020 to SAR 35.1 million, compared with SAR 42.8 million for Q1-19.
The decrease in net profits was attributed to reduced operating sector revenues due to the precautionary measures to limit the spread of the coronavirus (COVID-19), the company disclosed in a statement to the Saudi Stock Exchange (Tadawul).
Revenues stood at SAR 57 million for the three-month period, 7.4% lower than the SAR 61.5 million registered in the same period of the year before.
In addition, an increase in general and administrative expenses with the implementation of IFRS No. 9 by establishing a provision for doubtful debts helped narrow earnings, the statement indicated.
On Sunday, the company’s ordinary general meeting (OGM) approved last year’s financial results, the SAR 0.40 per share cash dividends distributed for the first half (H1) of last year, and the board’s recommendation to distribute SAR 0.50 per share dividends for H2-19 with a total value of SAR 88.89 million.
