(The Group’s Comment) Baladna Registers QAR 83.9 MM in 7 Months

06-08-2020


Profit: Net profit for the period from 2nd December 2019 till end of the 1st half 2020 amounted QAR 83.89 million. Earnings per share amounted QAR 0.046. Regarding the 2nd quarter’s profit, the company achieved QAR 44.23 million compared to QAR 39.66 million for the preceding four months from December 2019 till March 2020.

 

Item     December 2019 - March 2020 Q2 2020 Total
Revenue     236.8     205.1     441.9
Total Profit  63.8     62.11     125.91
Other revenues (support)  60.54     37.03     97.57
Financing cost  8.61     10.12     18.73
Net Profit   39.66     44.23     83.89

 Revenues: Total revenues amounted QAR 442 million for the seven-month period referred to above. This means that the average monthly revenue of the company amounted QAR 63 million. Dairy sales comprise 98% of the company’s total revenues while juices comprises 5% and livestock 2%. Sales of fertilizers, feed and plastic comprise 2%. Total profit (revenues – direct costs) amounted as at the end of the period nearly QAR 125.91 million, a 28.5%. This translates that the company achieve 28.5 dirhams from every single riyal of sales before the calculation of administrative and financing expenses.

 

 

Government support: According to the agreement signed between the company and the Ministry of Finance, the company receives a government support on the form of annual payments for 10 years against the capital investment the dairy sector. This support is shown in ‘other revenues’ item, which amounted as at the end of the period ended 30 June 2020 QAR 97.57 million. ‘Other revenues’ item might also include revenue from other resources beside the government support. However, no ‘Notes’ on this item are further included. 

 


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