Saudi Electricity turns to net profit of SAR 1.689 bln in Q1 2021

Saudi Electricity turns to net profit of SAR 1.689 bln in Q1 2021

05/05/2021 Argaam Exclusive

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Saudi Electricity Co. (SEC) reported a net profit after Zakat and tax of SAR 1.689 billion for the first quarter of 2021, against a net loss of SAR 2.441 billion in the year-ago period.



Current Quarter Comparison (M)

Compared With The
Item Q1 2020 Q1 2021 Change‬
Revenues 11,397.72 13,348.37 17.1 %
Gross Income (1192.35) 2,928.08 345.6 %
Operating Income (1413.80) 2,147.85 251.9 %
Net Income (2441.46) (199.98) 91.8 %
Average Shares 4,166.59 4,166.59 -
EPS (Riyals) (0.59) (0.05) 91.8 %

The positive performance was spurred by the regulatory and financial reforms approved for the electricity sector in November 2020, under which the government fee was cancelled as of January 1, 2021, a Regulatory Asset Based (RAB) Model was adopted to regulate the company’s revenue, effective from the fiscal year 2021. Accordingly, the balancing account estimated amount is being disbursed to the company on a quarterly basis. This also reflected on higher other operating revenue in the current quarter.

 

Moreover, financing costs decreased, due to lower overall debt levels following the conversion of the government loans as part of the Mudaraba Instrument signed in November 2020.

 

Moreover, operating revenues increased on higher power sales. However, the aforementioned items were partly offset by higher accounts receivable provisions reflecting higher revenue base retained by the company in the current quarter after the government fee cancellation.

When compared to Q4 2020, the company swung to a net profit after Zakat and tax of SAR 4.1 billion against a net loss of SAR 59.1 million.

 

Shareholders’ equity, excluding minority interest, more than tripled to SAR 249.705 billion by the end of Q1 2021, compared to SAR 70.682 billion in the year-ago period.



Financial results (Million)

Period Revenues Change Gross Income Change Net Income Change EPS(Riyal)
Q1 2012 5,940.77 11.9 % (366.16) 46.2 % (583.35) 24.6 % (0.14)
Q2 2012 9,064.93 8.6 % 1,400.84 (3.8 %) 1,360.33 1.9 % 0.33
Q3 2012 10,890.00 9.5 % 3,038.32 27.3 % 2,875.39 32.2 % 0.69
Q4 2012 7,750.56 11.3 % (464.76) (1.0 %) (1091.30) (108.9 %) (0.26)
Q1 2013 6,423.27 8.1 % (576.52) (57.5 %) (657.36) (12.7 %) (0.16)
Q2 2013 9,307.42 2.7 % 799.56 (42.9 %) 1,502.27 10.4 % 0.36
Q3 2013 11,804.47 8.4 % 2,914.36 (4.1 %) 2,852.83 (0.8 %) 0.68
Q4 2013 8,136.98 5.0 % (495.98) (6.7 %) (661.88) 39.3 % (0.16)
Q1 2014 7,069.18 10.1 % (864.11) (49.9 %) (913.35) (38.9 %) (0.22)
Q2 2014 10,489.73 12.7 % 1,341.82 67.8 % 3,657.81 143.5 % 0.88
Q3 2014 12,472.87 5.7 % 2,813.69 (3.5 %) 2,668.33 (6.5 %) 0.64
Q4 2014 8,458.89 4.0 % (1255.35) (153.1 %) (1801.80) (172.2 %) (0.43)
Q1 2015 7,485.98 5.9 % (1246.39) (44.2 %) (1939.69) (112.4 %) (0.47)
Q2 2015 11,917.40 13.6 % 2,122.48 58.2 % 1,970.64 (46.1 %) 0.47
Q3 2015 13,176.21 5.6 % 3,023.16 7.4 % 2,921.06 9.5 % 0.70
Q4 2015 8,985.19 6.2 % (1344.46) (7.1 %) (1444.55) 19.8 % (0.35)
Q1 2016 8,894.70 18.8 % (342.01) 72.6 % (798.31) 58.8 % (0.19)
Q2 2016 13,194.13 10.7 % 2,790.68 31.5 % 2,242.00 13.8 % 0.54
Q3 2016 17,132.99 30.0 % 5,587.18 84.8 % 4,928.41 68.7 % 1.18
Q4 2016 10,639.18 18.4 % (1183.38) 12.0 % (1826.85) (26.5 %) (0.44)
Q1 2017 8,920.29 0.3 % (653.65) (91.1 %) 4,935.78 718.3 % 1.18
Q2 2017 13,301.83 0.8 % 2,691.06 (3.6 %) 2,231.59 (0.5 %) 0.54
Q3 2017 16,986.31 (0.9 %) 5,608.94 0.4 % 5,261.87 6.8 % 1.26
Q4 2017 11,476.56 7.9 % (956.35) 19.2 % (5521.23) (202.2 %) (1.33)
Q1 2018 11,401.27 27.8 % (623.99) 4.5 % (1214.05) (124.6 %) (0.29)
Q2 2018 17,701.15 33.1 % 2,938.85 9.2 % 1,846.55 (17.3 %) 0.44
Q3 2018 21,930.17 29.1 % 5,970.99 6.5 % 4,925.47 (6.4 %) 1.18
Q4 2018 13,031.05 13.5 % (2366.24) (147.4 %) (3800.84) 31.2 % (0.91)
Q1 2019 11,395.24 (0.1 %) (636.38) (2.0 %) (1489.23) (22.7 %) (0.36)
Q2 2019 16,520.27 (6.7 %) 1,820.66 (38.0 %) 788.77 (57.3 %) 0.19
Q3 2019 20,830.54 (5.0 %) 3,759.55 (37.0 %) 2,679.39 (45.6 %) 0.64
Q4 2019 16,293.95 25.0 % 1,180.29 149.9 % (591.37) 84.4 % (0.14)
Q1 2020 11,397.72 0.0 % (1192.35) (87.4 %) (2441.46) (63.9 %) (0.59)
Q2 2020 16,668.46 0.9 % 788.96 (56.7 %) (868.56) (210.1 %) (0.21)
Q3 2020 20,517.11 (1.5 %) 3,340.09 (11.2 %) 2,200.58 (17.9 %) 0.53
Q4 2020 20,125.63 23.5 % 5,385.82 356.3 % 3,207.62 642.4 % 0.77
Q1 2021 13,348.37 17.1 % 2,928.08 345.6 % (199.98) 91.8 % (0.05)

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2012 9.67 % 40.17 % 8.27 %
Q2 2012 9.28 % 40.05 % 8.25 %
Q3 2012 10.99 % 41.40 % 10.21 %
Q4 2012 10.72 % 40.82 % 9.50 %
Q1 2013 9.96 % 40.18 % 9.00 %
Q2 2013 8.14 % 38.70 % 7.14 %
Q3 2013 7.57 % 38.21 % 6.83 %
Q4 2013 7.40 % 38.44 % 6.47 %
Q1 2014 6.48 % 37.80 % 5.65 %
Q2 2014 7.72 % 39.12 % 6.92 %
Q3 2014 7.32 % 39.38 % 6.32 %
Q4 2014 5.29 % 38.10 % 3.94 %
Q1 2015 4.25 % 38.05 % 1.26 %
Q2 2015 6.04 % 39.41 % 2.83 %
Q3 2015 6.44 % 39.94 % 3.40 %
Q4 2015 6.15 % 39.64 % 3.14 %
Q1 2016 8.05 % 39.45 % 5.69 %
Q2 2016 9.33 % 38.66 % 6.14 %
Q3 2016 13.88 % 39.88 % 9.80 %
Q4 2016 13.74 % 38.65 % 9.34 %
Q1 2017 13.11 % 38.91 % 8.56 %
Q2 2017 12.88 % 39.68 % 8.52 %
Q3 2017 12.97 % 41.21 % 9.21 %
Q4 2017 13.20 % 41.47 % 6.68 %
Q1 2018 12.64 % 40.23 % 6.31 %
Q2 2018 12.10 % 38.46 % 5.16 %
Q3 2018 11.73 % 36.01 % 4.21 %
Q4 2018 9.24 % 33.58 % 2.74 %
Q1 2019 9.22 % 34.44 % 2.31 %
Q2 2019 7.62 % 33.97 % 0.67 %
Q3 2019 4.17 % 31.96 % (2.95 %)
Q4 2019 9.42 % 36.28 % 2.13 %
Q1 2020 8.56 % 35.60 % 1.04 %
Q2 2020 6.96 % 33.79 % (0.59 %)
Q3 2020 6.35 % 33.22 % (1.38 %)
Q4 2020 12.11 % 37.39 % 4.23 %
Q1 2021 17.61 % 41.45 % 6.95 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2012 4,166.59 0.58 0.62 12.30
Q2 2012 4,166.59 0.58 0.63 12.54
Q3 2012 4,166.59 0.75 0.81 13.20
Q4 2012 4,166.59 0.61 0.77 12.83
Q1 2013 4,166.59 0.60 0.74 12.67
Q2 2013 4,166.59 0.63 0.59 12.91
Q3 2013 4,166.59 0.63 0.58 13.60
Q4 2013 4,166.59 0.73 0.55 13.51
Q1 2014 4,166.59 0.67 0.49 13.32
Q2 2014 4,166.59 1.18 0.62 14.08
Q3 2014 4,166.59 1.14 0.58 14.72
Q4 2014 4,166.59 0.87 0.36 14.22
Q1 2015 4,166.59 0.62 0.12 13.75
Q2 2015 4,166.59 0.22 0.27 14.10
Q3 2015 4,166.59 0.28 0.33 14.79
Q4 2015 4,166.59 0.36 0.31 14.48
Q1 2016 4,166.59 0.64 0.59 14.16
Q2 2016 4,166.59 0.70 0.65 14.38
Q3 2016 4,166.59 1.18 1.13 15.43
Q4 2016 4,166.59 1.09 1.12 15.74
Q1 2017 4,166.59 2.47 1.02 16.93
Q2 2017 4,166.59 2.46 1.02 17.33
Q3 2017 4,166.59 2.54 1.10 18.59
Q4 2017 4,166.59 1.66 0.81 17.35
Q1 2018 4,166.59 0.18 0.81 16.97
Q2 2018 4,166.59 0.09 0.71 17.29
Q3 2018 4,166.59 0.01 0.63 18.50
Q4 2018 4,166.59 0.42 0.42 17.68
Q1 2019 4,166.59 0.36 0.36 17.29
Q2 2019 4,166.59 0.10 0.10 17.25
Q3 2019 4,166.59 (0.44) (0.44) 17.88
Q4 2019 4,166.59 0.33 0.33 17.66
Q1 2020 4,166.59 0.10 0.16 16.96
Q2 2020 4,166.59 (0.29) (0.09) 16.54
Q3 2020 4,166.59 (0.41) (0.21) 17.08
Q4 2020 4,166.59 0.50 0.70 19.17
Q1 2021 4,166.59 1.04 1.18 19.63

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2012 27.74 25.84 1.30
Q2 2012 22.13 20.42 1.03
Q3 2012 17.44 16.27 0.99
Q4 2012 4.09 3.28 1.04
Q1 2013 23.71 19.20 1.12
Q2 2013 20.44 21.89 1.00
Q3 2013 21.26 22.98 0.98
Q4 2013 3.75 4.93 1.08
Q1 2014 23.61 32.00 1.18
Q2 2014 13.30 25.27 1.12
Q3 2014 15.13 29.80 1.17
Q4 2014 3.22 7.68 1.05
Q1 2015 28.16 More than 100 1.27
Q2 2015 79.95 62.81 1.22
Q3 2015 59.41 48.98 1.11
Q4 2015 8.14 9.40 1.08
Q1 2016 25.10 27.17 1.13
Q2 2016 27.89 29.96 1.36
Q3 2016 14.26 14.86 1.09
Q4 2016 3.88 3.79 1.43
Q1 2017 9.40 22.62 1.37
Q2 2017 10.35 24.94 1.47
Q3 2017 9.39 21.68 1.29
Q4 2017 2.38 4.86 1.21
Q1 2018 More than 100 25.75 1.22
Q2 2018 More than 100 29.20 1.20
Q3 2018 More than 100 25.34 0.87
Q4 2018 9.22 9.22 0.86
Q1 2019 46.39 46.39 0.95
Q2 2019 More than 100 More than 100 1.08
Q3 2019 NEG NEG 1.19
Q4 2019 15.60 15.60 1.15
Q1 2020 More than 100 98.16 0.94
Q2 2020 NEG NEG 0.94
Q3 2020 NEG NEG 1.01
Q4 2020 42.30 30.54 1.11
Q1 2021 22.56 19.95 1.20

Business Segments (Million)

Compared With The
Period Saudi Electricity Company National Electricity Transmission Company Other Subsidiaries Joint Operations Inter-Company Balances
Q3 2015 13,172.85 1,794.16 3.36 - (1794.16)
Q4 2015 8,955.63 1,866.48 3.51 - (1866.48)
Q1 2016 8,896.92 2,081.14 3.28 507.42 (2594.05)
Q2 2016 13,166.62 1,986.21 38.35 731.67 (2728.71)
Q3 2016 17,136.40 2,107.11 7.36 518.16 (2636.04)
Q4 2016 10,642.80 2,246.18 7.61 749.94 (3006.85)
Q1 2017 8,920.29 2,545.37 7.35 579.63 (3132.34)
Q2 2017 13,302.13 2,541.86 7.08 366.33 (2915.56)
Q3 2017 16,993.46 2,541.86 7.08 822.01 (3378.17)
Q4 2017 11,480.20 3,134.98 7.08 345.88 (3491.59)
Q1 2018 11,291.67 2,895.23 5.77 321.15 (3112.54)
Q2 2018 17,811.57 2,673.67 15.18 227.47 (3026.74)
Q3 2018 21,929.27 2,784.44 (2.30) 430.78 (3212.01)
Q4 2018 14,071.90 2,992.92 16.31 301.44 (4351.52)
Q1 2019 11,382.20 3,241.44 26.98 312.00 (3567.37)
Q2 2019 16,517.76 3,241.42 16.44 285.46 (3540.81)
Q3 2019 20,835.32 3,322.69 9.15 349.52 (3686.14)
Q4 2019 16,261.72 3,421.45 46.44 324.02 (3759.68)
Q1 2020 11,389.39 3,496.10 22.27 323.10 (3833.13)
Q2 2020 16,625.61 3,566.90 55.73 316.91 (3896.87)
Q3 2020 20,504.00 3,603.00 28.00 341.00 (3959.00)
Q4 2020 20,030.00 3,586.00 109.00 337.00 (3936.00)
Q1 2021 13,311.00 4,271.00 51.00 332.00 (4617.00)

Analysts Estimates (Million)

Item Q1 2021 (e) Q1 2021 (a) Change‬
Average 2,895.00 (199.98) (106.9 %)

Estimates vs Actual (Million)

Item Q1 2021 (e) Q1 2021 (a) Change
Riyad Capital 3,167.00 (199.98) (106.3) %
SNB Capital 2,623.00 (199.98) (107.6) %

Current
Market Cap (M Riyal) 67,248.76
Enterprise Value (EV) (M) 179,026.27
Shares Outstanding ((M)) 4,166.59
EPS ( Riyal) (TTM) 0.65
Book Value (BV) ( Riyal) 21.50
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) 18.93
P/E (TTM) 24.83
Price/book 0.75
Return on Average Assets (%) (TTM) 0.5
Return on Average Equity (%) (TTM) 3.0

Share Price

16.14
0.00 0.00 %

Saudi Electricity Co. (SAUDI ELECTRICITY)


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