Astra's 2014 net profit declines 57% to SAR 109.8 mln

Astra's 2014 net profit declines 57% to SAR 109.8 mln

21/01/2015 Argaam Exclusive

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Astra Industrial Group, which operates pharmaceutical plants and steel, reported 2014 net profit of SAR 109.8 million, a 57 percent decrease, compared to the last year.

 

A net profit of SAR 25.7 million was reported for Q4-2014 compared to SAR 17.9 million for Q3.



Financials (M)

Item 2013 2014 Change‬
Revenues 1,771.43 1,918.81 8.3 %
Gross Income 683.81 604.63 (11.6 %)
Operating Income 177.04 59.90 (66.2 %)
Net Income 253.14 109.33 (56.8 %)
Average Shares 80.00 80.00 -
EPS (Riyals) 3.16 1.37 (56.8 %)

 

The company attributed the decline of 2014’s profit compared to the same periods last year to:

  1. Power and Steel sector:
    a. Lower gross margins in steel structure business related to increase of project costs, additional provisions and lower sales
    b. Lower gross margins for project in Iraq due to higher production costs resulting from commercial startup with lower production and sales volumes due to the ongoing political instability
    B) Pharmaceutical Sector:
    a. Decrease in other income
    b. Higher marketing and R&D expenses

The decline of Q4-2014’s net profit compared to the same periods last year was attributed to:

A) Pharmaceutical sector:
a. Lower other income

B) Power and Steel sector:
a. Lower gross margins in steel structure business related to increase of project costs, additional provisions and lower sales
b. Lower gross margins for project in Iraq due to higher production costs resulting from commercial startup with lower production and sales volumes due to the ongoing political instability

The increase of Q4’s net profit compared to the previous quarter (Q3-2014) was attributed to:

  1. Pharmaceutical sector mainly:
    a. Due to higher operating income driven by increase of sales at higher gross margins

    The company added that gross margin for the current quarter are flat as compared to the previous quarter mainly due to reclassification of some of the operating costs from G&A to the cost of goods sold related to Power and Steel sector. Otherwise, current quarter would have shown higher gross margins as compared to the previous quarter. The reclassification impact will be reflected in the reviewed comparative financial statements for the first 3 quarters of 2015.


Current Quarter Comparison (M)

Compared With The
Item Q4 2013 Q4 2014 Change‬
Revenues 509.48 491.79 (3.5 %)
Gross Income 169.90 158.77 (6.5 %)
Operating Income 36.38 20.56 (43.5 %)
Net Income 72.41 25.72 (64.5 %)
Average Shares 80.00 80.00 -
EPS (Riyals) 0.91 0.32 (64.5 %)


Financial results (Million)

Period Revenues Change Gross Income Change Operating Income Change
Q1 2005 - - - - - -
Q2 2005 - - - - - -
Q3 2005 - - - - - -
Q4 2005 - - - - - -
Q1 2006 - - - - - -
Q2 2006 - - - - - -
Q3 2006 - - - - - -
Q4 2006 - - - - - -
Q1 2007 - - - - - -
Q2 2007 - - - - - -
Q3 2007 - - - - - -
Q4 2007 - - - - - -
Q1 2008 234.18 - 108.93 - 58.41 -
Q2 2008 239.57 - 106.57 - 48.02 -
Q3 2008 267.42 - 109.59 - 48.95 -
Q4 2008 249.84 - 94.22 - 23.16 -
Q1 2009 231.27 (1.2 %) 108.74 (0.2 %) 45.63 (21.9 %)
Q2 2009 256.59 7.1 % 108.08 1.4 % 40.71 (15.2 %)
Q3 2009 228.37 (14.6 %) 105.09 (4.1 %) 45.62 (6.8 %)
Q4 2009 255.30 2.2 % 120.14 27.5 % 37.41 61.5 %
Q1 2010 276.32 19.5 % 126.93 16.7 % 44.23 (3.1 %)
Q2 2010 276.03 7.6 % 126.08 16.7 % 46.27 13.7 %
Q3 2010 260.98 14.3 % 121.38 15.5 % 38.88 (14.8 %)
Q4 2010 307.13 20.3 % 110.67 (7.9 %) 45.93 22.8 %
Q1 2011 356.77 29.1 % 141.28 11.3 % 50.97 15.2 %
Q2 2011 373.14 35.2 % 146.07 15.9 % 50.29 8.7 %
Q3 2011 334.40 28.1 % 139.61 15.0 % 42.04 8.1 %
Q4 2011 340.93 11.0 % 138.10 24.8 % 49.08 6.9 %
Q1 2012 391.50 9.7 % 155.53 10.1 % 53.40 4.8 %
Q2 2012 376.88 1.0 % 155.50 6.5 % 50.92 1.3 %
Q3 2012 317.94 (4.9 %) 152.83 9.5 % 35.58 (15.4 %)
Q4 2012 410.00 20.3 % 154.06 11.6 % 45.31 (7.7 %)
Q1 2013 454.19 16.0 % 174.40 12.1 % 54.02 1.2 %
Q2 2013 447.54 18.7 % 178.71 14.9 % 50.08 (1.7 %)
Q3 2013 360.22 13.3 % 157.84 3.3 % 36.56 2.8 %
Q4 2013 509.48 24.3 % 169.90 10.3 % 36.38 (19.7 %)
Q1 2014 498.90 9.8 % 184.96 6.1 % 48.34 (10.5 %)
Q2 2014 453.23 1.3 % 136.47 (23.6 %) (5.14) (110.3 %)
Q3 2014 439.81 22.1 % 125.94 (20.2 %) 5.15 (85.9 %)
Q4 2014 491.79 (3.5 %) 158.77 (6.5 %) 20.56 (43.5 %)
2014 1,918.81 8.3 % 604.63 (11.6 %) 59.90 (66.2 %)


Profit Performance (Million)

Period Net Income Change EPS(Riyal) Extraordinary Income/Expense Net Profit Before Unusual Items EPS Before XO Items
Q1 2005 - - - - - -
Q2 2005 - - - - - -
Q3 2005 - - - - - -
Q4 2005 - - - - - -
Q1 2006 - - - - - -
Q2 2006 - - - - - -
Q3 2006 - - - - - -
Q4 2006 - - - - - -
Q1 2007 - - - - - -
Q2 2007 - - - - - -
Q3 2007 - - - - - -
Q4 2007 - - - - - -
Q1 2008 59.51 - 0.74 - 59.51 0.74
Q2 2008 46.73 - 0.58 - 46.73 0.58
Q3 2008 53.84 - 0.67 - 53.84 0.67
Q4 2008 25.72 - 0.32 - 25.72 0.32
Q1 2009 49.23 (17.3 %) 0.62 1.94 47.29 0.59
Q2 2009 50.74 8.6 % 0.63 2.66 48.08 0.60
Q3 2009 54.23 0.7 % 0.68 2.88 51.35 0.64
Q4 2009 49.84 93.8 % 0.62 3.04 46.80 0.59
Q1 2010 57.88 17.6 % 0.72 2.68 55.20 0.69
Q2 2010 61.46 21.1 % 0.77 3.48 57.98 0.72
Q3 2010 80.65 48.7 % 1.01 22.68 57.97 0.72
Q4 2010 59.00 18.4 % 0.74 - 59.00 0.74
Q1 2011 62.04 7.2 % 0.78 - 62.04 0.78
Q2 2011 67.28 9.5 % 0.84 - 67.28 0.84
Q3 2011 58.49 (27.5 %) 0.73 - 58.49 0.73
Q4 2011 63.77 8.1 % 0.80 - 63.77 0.80
Q1 2012 64.08 3.3 % 0.80 - 64.08 0.80
Q2 2012 68.50 1.8 % 0.86 - 68.50 0.86
Q3 2012 46.66 (20.2 %) 0.58 - 46.66 0.58
Q4 2012 63.43 (0.5 %) 0.79 - 63.43 0.79
Q1 2013 68.32 6.6 % 0.85 - 68.32 0.85
Q2 2013 61.72 (9.9 %) 0.77 - 61.72 0.77
Q3 2013 50.69 8.7 % 0.63 - 50.69 0.63
Q4 2013 72.41 14.1 % 0.91 - 72.41 0.91
Q1 2014 63.06 (7.7 %) 0.79 - 63.06 0.79
Q2 2014 3.07 (95.0 %) 0.04 - 3.07 0.04
Q3 2014 17.91 (64.7 %) 0.22 - 17.91 0.22
Q4 2014 25.72 (64.5 %) 0.32 - 25.72 0.32
2014 109.33 (56.8 %) 1.37 - 109.33 1.37

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2005 - - -
Q2 2005 - - -
Q3 2005 - - -
Q4 2005 - - -
Q1 2006 - - -
Q2 2006 - - -
Q3 2006 - - -
Q4 2006 - - -
Q1 2007 - - -
Q2 2007 - - -
Q3 2007 - - -
Q4 2007 - - -
Q1 2008 - - -
Q2 2008 - - -
Q3 2008 - - -
Q4 2008 42.31 % 20.25 % 18.75 %
Q1 2009 42.42 % 19.13 % 17.57 %
Q2 2009 41.85 % 18.11 % 17.40 %
Q3 2009 43.07 % 18.44 % 17.85 %
Q4 2009 45.50 % 19.94 % 19.92 %
Q1 2010 45.27 % 19.14 % 19.81 %
Q2 2010 46.16 % 19.11 % 20.40 %
Q3 2010 46.28 % 17.92 % 20.40 %
Q4 2010 43.29 % 18.41 % 20.54 %
Q1 2011 41.59 % 17.71 % 19.73 %
Q2 2011 40.01 % 16.85 % 18.97 %
Q3 2011 39.20 % 16.26 % 18.00 %
Q4 2011 40.21 % 15.71 % 17.90 %
Q1 2012 40.23 % 15.71 % 17.61 %
Q2 2012 40.78 % 15.91 % 17.65 %
Q3 2012 42.18 % 15.95 % 17.03 %
Q4 2012 41.30 % 15.09 % 16.22 %
Q1 2013 40.85 % 14.76 % 15.84 %
Q2 2013 40.50 % 13.92 % 14.74 %
Q3 2013 39.77 % 13.56 % 14.60 %
Q4 2013 38.44 % 13.31 % 14.29 %
Q1 2014 38.07 % 13.64 % 13.65 %
Q2 2014 35.63 % 11.75 % 10.39 %
Q3 2014 32.46 % 10.54 % 8.23 %
Q4 2014 32.18 % 9.87 % 5.83 %
2014 31.51 % 9.22 % 5.70 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2005 - - - -
Q2 2005 - - - -
Q3 2005 - - - -
Q4 2005 - - - -
Q1 2006 - - - -
Q2 2006 - - - -
Q3 2006 - - - -
Q4 2006 - - - -
Q1 2007 - - - -
Q2 2007 - - - -
Q3 2007 - - - -
Q4 2007 - - - -
Q1 2008 80.00 - - 11.03
Q2 2008 80.00 - - 11.56
Q3 2008 80.00 - - 17.67
Q4 2008 80.00 2.32 2.32 17.98
Q1 2009 80.00 2.19 2.17 18.51
Q2 2009 80.00 2.24 2.19 18.54
Q3 2009 80.00 2.25 2.16 19.10
Q4 2009 80.00 2.55 2.42 19.52
Q1 2010 80.00 2.66 2.52 19.08
Q2 2010 80.00 2.79 2.64 19.84
Q3 2010 80.00 3.12 2.72 20.62
Q4 2010 80.00 3.24 2.88 21.05
Q1 2011 80.00 3.29 2.96 21.73
Q2 2011 80.00 3.36 3.08 21.19
Q3 2011 80.00 3.09 3.09 21.89
Q4 2011 80.00 3.14 3.14 22.39
Q1 2012 80.00 3.17 3.17 23.18
Q2 2012 80.00 3.19 3.19 22.27
Q3 2012 80.00 3.04 3.04 22.63
Q4 2012 80.00 3.03 3.03 23.03
Q1 2013 80.00 3.09 3.09 23.94
Q2 2013 80.00 3.00 3.00 22.92
Q3 2013 80.00 3.05 3.05 23.18
Q4 2013 80.00 3.16 3.16 23.68
Q1 2014 80.00 3.10 3.10 24.43
Q2 2014 80.00 2.37 2.37 22.82
Q3 2014 80.00 1.96 1.96 22.99
Q4 2014 80.00 1.37 1.37 23.08

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2005 - - -
Q2 2005 - - -
Q3 2005 - - -
Q4 2005 - - -
Q1 2006 - - -
Q2 2006 - - -
Q3 2006 - - -
Q4 2006 - - -
Q1 2007 - - -
Q2 2007 - - -
Q3 2007 - - -
Q4 2007 - - -
Q1 2008 - - -
Q2 2008 - - -
Q3 2008 - - 1.71
Q4 2008 9.75 9.75 1.26
Q1 2009 8.88 8.98 1.05
Q2 2009 13.08 13.42 1.58
Q3 2009 14.41 15.04 1.70
Q4 2009 12.82 13.51 1.67
Q1 2010 14.10 14.89 1.97
Q2 2010 12.24 12.93 1.72
Q3 2010 11.80 13.53 1.79
Q4 2010 11.15 12.55 1.72
Q1 2011 9.49 10.53 1.44
Q2 2011 9.53 10.41 1.51
Q3 2011 10.47 10.47 1.48
Q4 2011 10.36 10.36 1.46
Q1 2012 12.71 12.71 1.74
Q2 2012 11.74 11.74 1.68
Q3 2012 12.04 12.04 1.62
Q4 2012 11.90 11.90 1.57
Q1 2013 12.18 12.18 1.57
Q2 2013 13.79 13.79 1.81
Q3 2013 13.83 13.83 1.82
Q4 2013 15.51 15.51 2.07
Q1 2014 18.15 18.15 2.30
Q2 2014 21.57 21.57 2.24
Q3 2014 24.30 24.30 2.07
Q4 2014 21.27 21.27 1.26

Business Segments (Million)

Compared With The
Period Pharmaceuticals Specialty chemicals Energy and steel industries
Q1 2009 105.16 67.45 58.67
Q2 2009 110.55 91.59 54.44
Q3 2009 97.03 87.96 43.39
Q4 2009 110.04 96.49 48.77
Q1 2010 121.91 96.96 57.45
Q2 2010 119.52 108.62 47.89
Q3 2010 104.06 110.86 46.06
Q4 2010 105.44 130.51 71.18
Q1 2011 135.38 138.56 82.82
Q2 2011 146.24 135.09 91.81
Q3 2011 139.68 119.96 74.06
Q4 2011 123.64 126.61 68.12
Q1 2012 172.74 135.63 83.14
Q2 2012 151.94 138.05 86.89
Q3 2012 160.61 122.47 34.86
Q4 2012 170.66 150.68 88.66
Q1 2013 214.39 165.59 74.22
Q2 2013 205.41 157.70 84.42
Q3 2013 189.95 114.84 55.43
Q4 2013 258.27 115.01 136.20
Q1 2014 243.34 161.19 94.37
Q2 2014 207.26 144.23 101.73
Q3 2014 207.18 127.15 105.48
Q4 2014 268.21 154.23 104.43

Current
Market Cap (M Riyal) 14,080.00
Enterprise Value (EV) (M) 13,896.67
Shares Outstanding ((M)) 80.00
EPS ( Riyal) (TTM) 7.40
Book Value (BV) ( Riyal) 29.86
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) 25.92
P/E (TTM) 23.78
Price/book 5.89
Return on Average Assets (%) (TTM) 13.1
Return on Average Equity (%) (TTM) 27.0

Share Price

176.00
1.00 0.57 %

Astra Industrial Group (ASTRA INDUSTRIAL)


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