Mobile Telecommunications Saudi Arabia : Telecommunication Company Saudi Arabia (Zain KSA) announces its Interim Financial Results for the Period Ending on 2021-09-30 (Nine Months )

A7030 ZAIN KSA-0.08 (-0.58 %)
1443/03/19 Mon Oct 25, 2021 08:01:44

Mobile Telecommunication Company Saudi Arabia (Zain KSA) announces its Interim Financial Results for the Period Ending on 2021-09-30 (Nine Months )

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Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Sales/Revenue	1,984	1,928	2.904	1,896	4.641
Gross Profit (Loss)	1,244	1,266	-1.737	1,259	-1.191
Operational Profit (Loss)	188	138	36.231	159	18.238
Net Profit (Loss) after Zakat and Tax	60.4	60.2	0.332	41.65	45.018
Total Comprehensive Income	89.5	53.8	66.356	54.9	63.023
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Sales/Revenue	5,818	5,856	-0.648
Gross Profit (Loss)	3,718	4,094	-9.184
Operational Profit (Loss)	506	792	-36.111
Net Profit (Loss) after Zakat and Tax	143	224	-36.16
Total Comprehensive Income	191	140	36.428
Total Share Holders Equity (after Deducting Minority Equity)	8,920	4,243	110.228
Profit (Loss) per Share	0.159	0.331
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	Zain KSA maintained the same net profit of SR 60 million in Q3 2021 vs Q3 2020 due to the increase in revenue by 3% amounting SR 56 million driven by the growth in B2B and 5G revenues, despite the increase in cost of revenue by 12% amounting SR 78 million as a result of the provision released in Q3 2020 and the gain of MFA modification by SR 136 million booked in Q3 2020. Opex decreased by SR 61 million and finance expenses by SR 90 million due to the reduction of the total debt of the company as a result of the capital restructuring that was done in Q4 2020.
The reason of the increase (decrease) in the net profit during the current quarter compared to the previous period of the current year is	Zain KSA recorded an increase of Net profit by 45% in Q3 2021 compared to Q2 2021 due to the increase in revenue by 5% amounting SR 88 million driven by the growth in B2B and 5G revenues, despite the decrease in gross Profit by SR 15 million. This is mainly due to the decrease in Opex by SR 55 million while depreciation and amortization expenses and finance expenses increased respectively by SR 12 million and SR 8 million.
The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is	The net profit decreased by SR 81 million in 9 months of 2021 compared to the same period of 2020 due to the decrease of revenue by 1% and the increase in cost of revenue by 19% mainly due to the provision released in the previous period. This was partially compensated by a decrease in Opex by SR 76 million and a decrease in finance expenses by SR 352 million as a result of the capital restructure that was done in Q4 2020; taking into consideration the gain of MFA modification by SR 136 million booked in the previous period.
Statement of the type of external auditor's report	Unmodified conclusion
Reclassification of Comparison Items	NA

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