Retal H1 2022 net profit up 10% to SAR 93.5 mln; Q2 at SAR 30 mln

Retal Urban Development Co. reported a net profit after Zakat and tax of SAR 93.5 million in the first six months of 2022, an increase of 10.4%, compared to SAR 84.7 million a year earlier.

The earnings increased on higher revenue from the sale of real estate units and developed land, in addition to the increase in investment returns, which reflected positively on net profit despite higher general and administrative expenses and selling and marketing expenses.

The company also improved its gross profit margin in the current period, which amounted to 28%, compared to 24% in the same period of the previous year.

In Q2 2022, net profit after Zakat and tax inched down 34% year-on-year (YoY) to SAR 30 million, from SAR 45.4 million in the year-earlier period, as the company realized non-recurring profit from discontinued operations in Q2 2021, lower revenue on one of the company’s projects and higher general and administrative expenses.

On a sequential basis, net profit dropped 52.7% from SAR 63.4 million in Q1 2022.

Total shareholders’ equity, excluding minority interest, stood at SAR 662.38 million by the end of H1 2022, compared to SAR 528.47 million in a year-earlier period.

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