Foods Gate posts profit rise to SAR 6.4 mln in H1 2022; Q2 at SAR 2.2 mln

Foods Gate Co. (FG), which is on track to list shares on Nomu-Parallel Market, reported a surge in H1 2022 net profit to SAR 6.4 million, compared to SAR 1.8 million in the year-earlier period.

The growth was driven by revenue that increased to SAR 31.8 million, from SAR 25.1 million in H1 2021 along with higher other income.

The company, which offers a wide range of Japanese foods and beverages, also reported a decline in general and administrative (G&A) expenses, a rise in operating profit margin to 14% in H1 2022, compared to 9% a year earlier.

This came despite a drop in profit margins to 31%, from 34% in H1 2021.

In Q2 2022, FG posted a net profit of SAR 2.2 million, driven by a rise in revenue to SAR 15.8 million, from SAR 11.3 million in Q2 2021. G&A declined, along with a rise in operating profit margin to 16% in Q2 2022, from 3% a year earlier.

Shareholders’ equity, with no minority interest, reached SAR 35.23 million by the end of H1 2022, up from SAR 24.94 million a year earlier and SAR 28.82 million by the end of 2021.

FG’s cash balance stood at SAR 2.5 million as of June 30, 2022. Net cash flows from operating and investment activities reached SAR 12.86 million and SAR 2.62 million, respectively. Net cash flows from financing activities came in at -SAR 15.08 million by the end of the same period.

By segment, revenue from the Tokyo brand jumped to SAR 21.6 million in H1 2022, from SAR 17.3 million a year earlier.

Revenue from the Kimono brand rose to SAR 7.6 million in H1 2022, from SAR 3.5 million a year earlier.

The company recorded nil revenue from the Irori Tokyo brand in H1 2022, compared to SAR 3.8 million a year earlier.

Revenue from the procurement department declined to SAR 0.2 million from SAR 0.4 million in H1 2021.

Cloud kitchens’ revenue reached SAR 2.4 million in H1 2022, compared to nil in the prior-year period.