Abdullah Al Othaim Markets Co.’s net profit of SAR 107 million for Q4 2018 exceeded Al Rajhi Capital and consensus estimates of SAR 171 million and SAR 167 million, respectively.
Revenue came in at SAR 1.95 billion missing the brokerage's estimate of SAR 2.76 billion, due soft market conditions during the quarter. However, gross profit increased 6.9 percent year-on-year to SAR 476 million, implying a margin expansion to 24.4 percent on the back of favorable pricing from suppliers during the quarter.
"Going forward, we expect top-line to continue to grow as the company increases its market share, on the back of higher market penetration driven by higher number of stores. Further, this will be supported by improving consumer sentiments as economy sets to gather pace," the report said.
Al Rajhi Capital maintained its "overweight' rating on the stock, revising the target price to SAR 76 per share.
Argaam Investment Company has updated the Privacy Policy of its services and digital platforms. Know more about our Privacy Policy here.
Argaam uses cookies to personalize content, to provide social media features and analyze traffic, that we might also share with third parties. You consent to our cookies if you use this website
Comments {{getCommentCount()}}
Be the first to comment
رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}
{{comment.DisplayName}}
{{comment.ElapsedTime}}