Riyadh – Mubasher: Red Sea Housing Services’ profits surged 568.4% to SAR 12.7 million ($3.4 million) in the third quarter of 2016 from SAR 1.9($507,000) in the year-ago period.
The increase in net profit is due to increase in gross profit margin which has resulted from the increase in building revenues by 29.1%, according to a bourse fling on Wednesday.
“Net profit has further improved due to decrease in total operating expenditure by 7.07% mainly due to decrease in marketing expenses, employee cost and recruitment expenses,” the statement said.
The company’s profits increased 55.5% to SAR 76.2 million in the first nine months of 2016 from SAR 49 million in the prior-year period.
Total Revenues rose 10% SAR 251.3 million in Q3-16 compared to SAR 228.4 million recorded in the third quarter of the previous year.
