Riyadh – Mubasher: The National Agricultural Development Company (NADEC) announced its initial financial results for the second quarter of 2019.
Net profits after zakat and tax fell by 63.7% to SAR 7.07 million in Q2-19, compared to SAR 19.51 million in Q2-18, according to the company’s statement to the Saudi Stock Exchange (Tadawul) on Sunday.
The decrease in the firm’s profits was attributed to losses on derivative financial instruments during Q2-19, as the company assessed the expected future interest rate movement, and accordingly, decided to terminate the Callable Inverse Floater (CIF) contracts and recognized the loss on the termination of the same, which amounted to SAR 19.16 million for the current quarter.
Meanwhile, total revenues increased by 7.9% to SAR 604.1 million in Q2-19, from SAR 559.7 million in the same period of the prior year.
For the first half of 2019, NADEC’s net profits decreased by 76.6% year-on-year, recording SAR 3.39 million.
Revenues jumped by 9.7% to SAR 1.13 billion in H1-19, versus SAR 1.03 billion in H1-18.
Profit per share reached SAR 0.04 during the six-month period ended June, compared to SAR 0.17 in the same period of the previous year.
