United Development Q P S C : Third Quarter Financial Statement 2022

United Development Company Q.P.S.C.

Interim condensed consolidated financial statements as at and for the period ended 30 September 2022

United Development Company Q.P.S.C.

Interim condensed consolidated financial statements as at and for the period ended 30 September 2022

Contents	Page
Interim consolidated statement of profit or loss and other comprehensive income	1
Interim consolidated statement of financial position	2
Interim consolidated statement of changes in equity	3
Interim consolidated statement of cash flows	4
Notes to the interim condensed consolidated financial statements	5 - 16

United Development Company Q.P.S.C.

Interim consolidated statement of profit or loss and other comprehensive income for the nine-month period ended 30 September 2022

	Nine-month period ended 30 September
		2022	2021
	Note	(Unaudited)		(Unaudited)
		QR'000		QR'000
Revenue		1,237,756	1,615,422
Cost of revenue		(780,209)	(1,174,445)
Gross profit		457,547		440,977
Dividend income		38	984
Other operating income		44,160	40,398
Fair value gain on investment securities		1,713	119
(Provision for) / reversal of impairment on trade receivables		(5,357)	4,669
General and administrative expenses		(192,611)	(211,842)
Sales and marketing expenses		(24,911)	(7,362)
Operating profit		280,579		267,943
Finance income		46,407	55,128
Finance costs		(104,205)	(87,865)
Net finance costs		(57,798)		(32,737)
Net share of results of associates		(3,038)	488
Profit before tax		219,743		235,694
Income tax	26	(2,746)	(28,818)
Net profit for the period		216,997		206,876
Net profit for the period attributable to:		208,544
Equity holders of the Parent		179,269
Non-controlling interests		8,453	27,607
		216,997		206,876
Earnings per share attributable to equity holders
of the Parent:	6	0.059
Basic and diluted earnings per share (QR)		0.051
Other comprehensive income		-	-
Total comprehensive income for the period		216,997		206,876
Total comprehensive income for the period attributable to:		208,544
Equity holders of the Parent		179,269
Non-controlling interests		8,453	27,607
		216,997		206,876

The attached notes from 1 to 32 form part of these interim condensed consolidated financial statements. 1

United Development Company Q.P.S.C.

Interim consolidated statement of financial position as at 30 September 2022

	Note	30 September 2022			31 December 2021
		(Unaudited)			(Audited)
Assets		QR'000			QR'000
Non-current assets	7	3,098,376
Property, plant and equipment	3,050,943
Investment properties	8	9,896,382	9,822,212
Right-of-use assets	9	10,559	11,698
Intangible assets	10	3,292	2,498
Investment in associates	11	30,116	37,954
Investment securities	12	51,536	49,823
Accounts and other receivables, net	15	687,620	831,257
Deferred costs	14	123,515	119,789
Total non-current assets		13,901,396			13,926,174
Current assets	13	833,916
Inventories, net	953,001
Work in progress		2,301,120	1,769,583
Accounts and other receivables, net	15	1,740,566	1,543,372
Deferred costs	14	14,222	13,809
Cash and bank balances	16	1,622,662	1,795,865
Total current assets		6,512,486			6,075,630
Total assets		20,413,882			20,001,804
Equity and liabilities
Equity	17	3,540,862
Issued capital	3,540,862
Legal reserve		1,770,431	1,770,431
Other reserve	18	1,212,049	1,212,049
Retained earnings		4,489,291	4,475,494
Equity attributable to equity holders of the parent		11,012,633			10,998,836
Non-controlling interests		77,828	75,568
Total equity		11,090,461			11,074,404
Liabilities
Non-current liabilities	19	2,930,211
Loans and borrowings	3,012,139
Accounts and other payables	20	130,632	114,240
Retention payable	21	173,583	181,575
Deferred revenue	22	642,156	607,462
Employees' end-of-service benefits	23	53,170	49,708
Lease liabilities	24	8,667	9,273
Total non-current liabilities		3,938,419			3,974,397
Current liabilities	19	2,029,130
Loans and borrowings	1,521,084
Accounts and other payables	20	3,175,125	3,257,356
Retention payable	21	118,035	112,943
Deferred revenue	22	60,369	58,731
Lease liabilities	24	2,343	2,889
Total current liabilities		5,385,002			4,953,003
Total liabilities		9,323,421			8,927,400
Total equity and liabilities		20,413,882			20,001,804

These interim condensed consolidated financial statements were approved by the Board of Directors and signed on their behalf on 19 October 2022 by:

__________________________________	_____________________________
Ibrahim Jassim Al-Othman	Turki Bin Mohamed Al-Khater
President and Chief Executive Officer	Chairman of the Board

The attached notes from 1 to 32 form part of these interim condensed consolidated financial statements.

2

United Development Company Q.P.S.C.

Interim consolidated statement of changes in equity for the nine-month period ended 30 September 2022

	Attributable to equity holders of the Parent		Non-
	Share		Legal		Other		Retained					controlling		Total
	capital		reserve		reserves		earnings		Total		interests		equity
	QR'000		QR'000		QR'000		QR'000		QR'000		QR'000		QR'000
Balance at 1 January
2021 (Audited)	3,540,862	1,752,393	1,212,049	4,449,679	10,954,983		366,796	11,321,779
Net profit for the period	-	-	-	179,269	179,269		27,607	206,876
Other comprehensive
income for the period	-	-	-	-	-		-	-
Related party share of
tax	-	-	-	-	-		7,820	7,820
Transfer to legal
reserve	-	17,927	-	(17,927)	-		-	-
Dividend paid (Note 32)	-	-	-	(177,043)	(177,043)		-	(177,043)
Addition during the
period	-	-	-	-	-		490	490
Acquisition of non-
controlling interest
without change in
control	-	-	-	(60,834)	(60,834)		(326,619)	(387,453)
Balance at
30 September 2021
(Unaudited)	3,540,862	1,770,320	1,212,049	4,373,144	10,896,375		76,094	10,972,469
Balance at 1 January
2022 (Audited)	3,540,862	1,770,431	1,212,049	4,475,494	10,998,836		75,568	11,074,404
Net profit for the period	-	-	-	208,544	208,544		8,453	216,997
Other comprehensive
income for the period	-	-	-	-	-		-	-
Addition during the
period	-	-	-	-	-		1,050	1,050
Dividend paid (Note 32)	-	-	-	(194,747)	(194,747)		(7,243)	(201,990)
Balance at
30 September 2022
(Unaudited)	3,540,862		1,770,431		1,212,049		4,489,291		11,012,633			77,828		11,090,461

The attached notes from 1 to 32 form part of these interim condensed consolidated financial statements. 3