Namaa Chemicals Announces Preliminary Financial Results for the Period Ending 30/06/2018 (Six Months)

Quarter current

Quarter current

Quarter current

Change in progress

Change in progress

]

–

28

16.76 –

Gross Profit ( loss]

48

23

102.94

52

19659002]

Current Period

[1965900]]

40

147.8

[1965900]]

–

All figures are in millions of Saudi Riyals. Saudi Arabia

Post

Clarification

The reason for the rise (decrease) in the current quarter compared with the same quarter of the previous year to

The reason for achieving net profit in the current quarter compared to the same quarter of the previous year Price for the sale of finished products, despite the small quantities sold. Note that there is a decrease in sales and marketing expenses, a decrease in financial expenses attributable to the repayment of certain loans and an increase in overhead costs due to the amortization of deferred charges. And the increase in Zakat and the increase in other income due to the Yansab Yansab record, as well as the decline in foreign exchange valuation earnings

The reason of the increase over the current period compared to the same period of the previous year to

Profit during the current period compared to the corresponding period of the previous year upward price of the sale of finished products, despite the decrease in the quantities sold. There is a decrease in sales and marketing expenses and a decrease in financial expenses due to the repayment of certain loans. And an increase in overhead costs due to the amortization of deferred charges. (19659002) The reason for the increase (decrease) in the current quarter compared with the previous quarter (19659002) is due to the decrease in the Company's net income in the current quarter compared with the previous quarter to the decrease. quantities sold. Despite an improvement in average selling prices of finished products. In addition to the lower costs of raw materials because of the lower quantities produced. Note that there is an increase in overhead costs due to the amortization of deferred charges and the increase in marketing expenses and increase in other income following the registration of Yansab Company's statements.

Note or reservation or caution as indicated in the report of the External Auditor

We draw attention to Note 1 to the condensed interim consolidated financial statements which indicate that the condensed interim consolidated financial statements are attached hereto have been established on the assumption that the Group will continue on a going concern basis. As indicated in Note 1, as of June 30, 2018, the Group's current liabilities exceeded its current assets of RS 567.8 million (December 31, 2017: SR 663 million), mainly due to the calculation of long term Saudi Industrial Development Fund Amount at 520.6 million SAR. In addition, the Group was not engaged in financial commitments on loans. The Company is currently negotiating the loan restructuring with the Saudi Industrial Development Fund, and is taking the necessary corrective action in the event of non-compliance with loan conditions. Management believes that the Company will successfully restructure the Saudi Industrial Development Fund loan and resolve non-compliance with loan commitments in the near future. As a result, these condensed interim consolidated financial statements are prepared on a going concern basis. Loans are classified according to the original repayment terms.

Notes to Consolidated Financial Statements

The Company's revenues for the current quarter ended June 30, 2018 Amounted to 162.35 million SAR, The total profit (loss) for the quarter ended June 30, 2017 amounted to 160.04 million RS The total profit for the current quarter amounted to 47.65 million RS against 23.48 million RS for the same quarter of the previous year with an increase of 103%

Operating profit (loss) in the current quarter is RO 28.80 million Net profit (loss) after Zakat and the tax during the current quarter amounted to RS 23.44 million against a loss of RS (2.75) million for the same quarter of the same period. the year before.

During the quarter, total income was 26.36 million RS against a loss of 5.68 SR for the same quarter of the previous year.

The turnover amounted to 344.19 million RS against 290.18 million RS for the same period of the previous year. The profit (loss) during the reporting period amounted to RS 100.06 million compared to 40.38 QR for the same period last year (19659062). Operating (loss) during the current period reached SAR 65.50 million against SAR 7.63 million for the corresponding period of the previous year with an increase of 758%

Net profit (loss) after Zakat and tax during the period The total profit of the fiscal year stands at 83.03 million RS against a loss of 3.09 million RS

Earnings per share of the fiscal year he raises to 2.20 SR against a loss of 0.07 million rials. ) For the same period last year.

Total shareholders' equity during the current period was 360 million The external auditor reviewed the financial statements and issued a report examining the conclusion without an intermediary