Alhokair Group widens net losses to SAR 200.2 mln in 2020

Abdulmohsen Alhokair Group for Tourism and Development widened its net loss after Zakat and tax by 40% to SAR 200.2 million for 2020, from SAR 143 million a year earlier.

Alhokair attributed the increase in net losses to a decline of SAR 496.9 million in revenue, as the group was hit by the COVID-19 outbreak and the preventive measures adopted by the Saudi government to contain the virus spread. The group also reported lower profit share from joint ventures.

Moreover, it recorded an impairment provision for property and equipment of SAR 28.3 million.

In Q4 2020, the company cut net losses to SAR 95 million, from SAR 96.03 million in year-earlier period.

Shareholders’ equity, excluding minority interest, decreased by 43.7% to SAR 247.42 million in 2020, from SAR 439.81 million a year earlier.

Alhokair’s accumulated losses stood at SAR 302.33 million, representing 55% of capital. On March 25, 2021, the company’s board of directors was informed that accumulated losses reached 55% of capital.