JAZADCO turns to SAR 72.3M loss in 9M 2024, SAR 18.8M in Q3

Jazan Energy and Development Co. (JAZADCO) reported a net loss of SAR 72.3 million in the first nine months of 2024, against a net profit of 18.7 million in the year-ago period.

This was primarily due to revaluation losses for the existing shrimp crop in the first quarter of 2024, amounting to SAR 32.07 million. Additionally, costs of SAR 8.63 million were incurred in Q2 2024 without corresponding biomass production, which were realized in the profit and loss statement following the end of the harvest season on June 3, 2024.

Furthermore, the company's share of profit from associates declined significantly from SAR 9.64 million to SAR 1.24 million. There were also losses of SAR 6.79 million from the disposal of assets held for sale due to the closure of the water factory’s first production line in the previous quarter.

Sales for the nine-month period showed modest growth of 2.35% year-on-year (YoY), reflecting steady demand for shrimp and fruit products despite market challenges.

In Q3 2024, JAZADCO swung to losses of SAR 18.8 million from earnings of SAR 5.47 million in Q3 2023, primarily due to losses from the disposal of assets held for sale, following the full closure of the first production line at the water factory.

Meanwhile, the company widened the three-month losses from SAR 12.49 million in Q2 2024.

Shareholders’ equity, excluding minority interest, amounted to SAR 430.94 million by the end of the current period, down from SAR 564.39 million a year ago.

Accumulated losses reached SAR 18.44 million as of Sept. 30, 2024, representing 3.69% of the company’s capital.

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