Savola Group profits soar 35pc to $320 million
Riyadh, February 23, 2012
Saudi Arabia’s The Savola Group has achieved a consolidated net income of SR1.2 billion ($320 million) for the year 2011, an increase of 35.6 per cent compared to the previous year’s SR886.7 million.
The earnings per share (EPS) was SR2.40, compared to SR1.77 for the previous year, said a statement.
Gross profit amounted to SR3.97 billion, an increase of 16.1 per cent compared to SR3.42 billion for the same period in 2010. The operating profit amounted to SR1.8 billion, an increase of 20 per cent compared to SR1.5 billion in 2010.
Dr Abdulraouf Mannaa, Savola Group managing director, said the increase in the group’s net income is mainly due to the turnaround in profitability of start-ups and overseas operations in the foods sector, continued sales growth and increased market share in the retail sector and a capital gain of SR153 million resulting from the sale of two lands during the fourth quarter 2011.
Revenues for the year ended December 31, 2011 reached SR25.2 billion, an increase of 20 per cent compared to same period last year.
Dr Mannaa said 2011 was the best ever financial year for The Savola Group. The company recorded the highest ever net income for the year 2011 of SR 1.08 billion (before capital gain and exceptional items), which is 15.8 per cent higher than SR 933 million achieved during the previous year, despite challenges in the overseas markets and substantial increases in raw material prices, he said. – TradeArabia News Service