Shaker’s H1 2023 profit up 69% to SAR 44.7 mln; Q2 at SAR 15.9 mln

Al Hassan Ghazi Ibrahim Shaker Co. (Shaker) reported a 69% increase in H1 2023 net profit to SAR 44.7 million from SAR 26.4 million in the year-earlier period.

Shaker’s revenue rose 10.54% year-on-year (YoY) as the growth strategy was realized with a more diversified and expanded product portfolio, along with a better market share. The heating, ventilation and air conditioning (HVAC) solutions and home appliances segments’ revenue grew YoY by 14.82% and 4.56%, respectively.

The cost of goods sold (COGS) improved on a favourable portfolio mix, which pushed the company’s gross profit 21.76% higher from SAR 132.51 million in H1 2022 to SAR 161.34 million in H1 2023. During the six-month period, operating profit leapt by 66.86% YoY.

In H1 2023, Shaker also reported a higher profit share from the LG-Shaker HVAC factory, which offset the rise in finance costs due to increased SAIBOR.

In Q2 2023, the company’s net profit leapfrogged 36% to SAR 15.9 million from SAR 11.65 million in the prior-year period, as revenue grew by 4.42% YoY to SAR 307.39 million. Better operating performance and profit share from LG-Shaker HVAC factory also bolstered the second-quarter results.

Sequentially, net earnings fell by 44.8% from SAR 28.77 million in Q1 2023 on a quarter-on-quarter (QoQ) revenue drop of 11.30% amid lower sales of home appliances due to seasonal factors. 

Total shareholders’ equity, after minority interest, stood at SAR 697.03 million by the end of the six-month period, compared to SAR 648.52 million a year earlier. 

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