Dur Hospitality Co. announces the annual financial results for the period ending on 31-12-2017
|Element||Current year||Previous year||% Change|
|Net profit (loss)||90,631||111,495||-18.71|
|Earning or loss per share, Riyals||0.91||1.11||-|
|Gross profit (loss)||130,511||147,096||-11.27|
|Operational profit (loss)||96,360||116,164||-17.05|
|All figures are in (Thousands) Saudi Arabia, Riyals|
|Reasons of annual financial results||The decrease in net income during the current year compared with the previous year was resulted from the following:
1) The decreased revenues especially during the first nine months of the current year, and that was due to the decreased revenues of some of the Company hotel properties due to the effect of declining demand from the business segment. Also, Umrah business in the main markets has witnessed a decline in the first half of the current year. In addition, the occurrence of partial closure to some hotel properties due to renovation works made as a result of the increased competition in the hospitality sector.
2) The current year has been negatively affected by recording a loss from investments in equity accounted investees (Saudi Heritage Hospitality Company and Makarem Knowledge Hospitality Company) with an amount of SAR (4.2) million, due to the absence of operating revenues at this stage as the projects of those companies are still in the development phase.
It is worth mentioning that the Company succeeded during the current year in imposing more control on the operating and G&A expenses.
Although, the previous year was positively affected by realizing gains from the sale of stocks portfolio amounted to SAR (5.7) million.
|Reclassifications in annual financial results||Comparatives have been reclassified due to the adoption of the International Financial Reporting Standards (IFRS).|
|Other notes||1) Revenues amounted to SAR (483.6) million in current year compared with SAR (499.2) million in the previous year representing a decline by (3.1%).
2) Comprehensive Income amounted to SAR (94.2) million in the current year compared with SAR (103.9) million in the previous year representing a decrease by (9.4%).
3) Shareholders Equity (excluding minority interest) amounted to SAR (1,783.1) million as of 31 December 2017 compared with SAR (1,778.5) million as of 31 December 2016, representing an increase by (0.5%).
The Capital Market Authority and the Saudi Stock Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.