Savola swings to SAR 476 mln profit in FY19

Savola Group reported a net profit after zakat and tax of SAR 475.6 million for the fiscal year 2019, against a net loss of SAR 520.4 million a year earlier, driven by higher gross profit amid improved sales and margins.

The annual figures were also bolstered by lower operating costs and a reversal of zakat and tax provision for prior years’ assessments.

In Q4 2019, the edible oil producer turned to a net profit after zakat and tax of SAR 137.3 million, compared to a net loss of SAR 526 million in year-earlier period. Savola was backed by higher profit share from associates, lower operating expenses, net financing costs as well as zakat and income tax.

When compared to Q3 2019, Savola’s net profit dropped by 38% on a decline in the company’s profit share from associates, along with a marginal increase in net financing costs, and zakat and income tax.