Al Othaim posts SAR 490.7M profit in 2023, SAR 168.9M in Q4

Al Othaim posts SAR 490.7M profit in 2023, SAR 168.9M in Q4

07/02/2024 Argaam Exclusive

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Abdullah Al Othaim Markets Co. posted a net profit of SAR 490.7 million for 2023, compared to SAR 1.07 billion in 2022.



Financials (M)

Item 2022 2023 Change‬
Revenues 9,549.55 10,203.78 6.9 %
Gross Income 2,085.62 2,271.50 8.9 %
Operating Income 330.02 370.87 12.4 %
Net Income 1,079.51 490.69 (54.5 %)
Average Shares 900.00 900.00 -
EPS (Riyals) 1.20 0.55 (54.5 %)

The company attributed the profits to a 6.85% increase in sales from existing and new stores opened during the year, as well as improvements in profit margins and marketing lease activity and gains from investing excess cash in Shariah-compliant deposits.

 

Moreover, Al Othaim recovered SAR 4.1 million in impairment provisions related to the subsidiary in Egypt.

 

Meanwhile, expenses related to the new stores, mainly the finance cost of lease contracts, rose by SAR 25.3 million. The performance of the associate companies also fell by SAR 14.3 million.

 

Al Othaim reported non-recurring capital gains of SAR 96.9 million, after Zakat, from the sale of investment land in Riyadh, compared to SAR 701.2 million in 2022.

 

When eliminating the non-recurring capital gains, the growth in the company's net profits would be 3.23%.

 

The fourth-quarter net profit fell 1.1% to SAR 168.87 million from SAR 170.80 million in Q4 2022, on higher expenses related to the new store openings, mainly the finance cost of lease contracts reaching SAR 6.5 million. The performance of the associate companies fell by SAR 4 million.

 

Compared to Q3 2023, Al Othaim’s bottom line jumped by 170.7% from SAR 62.38 million as sales grew and profit margin improved due to the increase in incentives related to achieving the sales targets from suppliers compared to the previous quarter, in addition to the increase in the performance of the associate companies.



Current Quarter Comparison (M)

Compared With The
Item Q4 2022 Q4 2023 Change‬
Revenues 2,492.10 2,563.43 2.9 %
Gross Income 628.55 649.72 3.4 %
Operating Income 159.98 161.37 0.9 %
Net Income 170.80 168.87 (1.1 %)
Average Shares 900.00 900.00 -
EPS (Riyals) 0.19 0.19 (1.1 %)

Total shareholders’ equity, after minority interest, decreased to SAR 1.35 billion as of Dec. 31, 2023, from SAR 1.40 billion in the year-earlier period.



Financial results (Million)

Period Revenues Change Gross Income Change Net Income Change EPS(Riyal)
Q1 2014 1,222.98 14.7 % 204.66 24.7 % 46.47 13.9 % 0.05
Q2 2014 1,511.39 30.2 % 219.39 24.4 % 51.79 30.3 % 0.06
Q3 2014 1,208.79 1.3 % 195.07 (2.2 %) 42.29 0.8 % 0.05
Q4 2014 1,308.74 12.9 % 252.01 9.0 % 74.23 6.0 % 0.08
Q1 2015 1,408.03 15.1 % 212.36 3.8 % 48.89 5.2 % 0.05
Q2 2015 1,725.54 14.2 % 247.99 13.0 % 55.66 7.5 % 0.06
Q3 2015 1,348.87 11.6 % 221.39 13.5 % 37.09 (12.3 %) 0.04
Q4 2015 1,553.36 18.7 % 316.73 25.7 % 89.23 20.2 % 0.10
Q1 2016 1,606.16 14.1 % 265.48 25.0 % 46.62 (4.6 %) 0.05
Q2 2016 1,976.23 14.5 % 312.31 25.9 % 49.76 (10.6 %) 0.06
Q3 2016 1,569.57 16.4 % 271.63 22.7 % 36.19 (2.4 %) 0.04
Q4 2016 1,907.19 22.8 % 362.34 14.4 % 95.50 7.0 % 0.11
Q1 2017 1,696.23 5.6 % 319.69 20.4 % 60.15 29.0 % 0.07
Q2 2017 1,935.88 (2.0 %) 356.38 14.1 % 71.21 43.1 % 0.08
Q3 2017 1,627.85 3.7 % 318.56 17.3 % 150.62 316.2 % 0.17
Q4 2017 1,971.19 3.4 % 444.98 22.8 % 167.52 75.4 % 0.19
Q1 2018 1,798.26 6.0 % 341.54 6.8 % 67.26 11.8 % 0.07
Q2 2018 2,022.47 4.5 % 375.18 5.3 % 74.11 4.1 % 0.08
Q3 2018 1,744.69 7.2 % 339.78 6.7 % 54.31 (63.9 %) 0.06
Q4 2018 1,939.04 (1.6 %) 474.84 6.7 % 106.92 (36.2 %) 0.12
Q1 2019 1,959.32 9.0 % 386.48 13.2 % 68.34 1.6 % 0.08
Q2 2019 2,171.10 7.3 % 394.15 5.1 % 58.73 (20.7 %) 0.07
Q3 2019 1,936.92 11.0 % 400.01 17.7 % 75.38 38.8 % 0.08
Q4 2019 2,098.53 8.2 % 512.27 7.9 % 142.23 33.0 % 0.16
Q1 2020 2,379.50 21.4 % 459.32 18.8 % 99.55 45.7 % 0.11
Q2 2020 2,574.43 18.6 % 512.15 29.9 % 125.25 113.3 % 0.14
Q3 2020 1,812.81 (6.4 %) 411.63 2.9 % 60.69 (19.5 %) 0.07
Q4 2020 2,044.77 (2.6 %) 528.05 3.1 % 165.48 16.3 % 0.18
Q1 2021 2,097.15 (11.9 %) 419.22 (8.7 %) 57.68 (42.1 %) 0.06
Q2 2021 2,171.27 (15.7 %) 400.49 (21.8 %) 47.93 (61.7 %) 0.05
Q3 2021 2,000.74 10.4 % 400.94 (2.6 %) 44.87 (26.1 %) 0.05
Q4 2021 2,134.42 4.4 % 565.18 7.0 % 149.64 (9.6 %) 0.17
Q1 2022 2,462.38 17.4 % 507.10 21.0 % 101.78 76.5 % 0.11
Q2 2022 2,254.52 3.8 % 468.72 17.0 % 50.04 4.4 % 0.06
Q3 2022 2,340.54 17.0 % 481.25 20.0 % 756.90 1586.9 % 0.84
Q4 2022 2,492.10 16.8 % 628.55 11.2 % 170.80 14.1 % 0.19
Q1 2023 2,781.51 13.0 % 574.25 13.2 % 120.01 17.9 % 0.13
Q2 2023 2,419.84 7.3 % 508.28 8.4 % 139.43 178.6 % 0.15
Q3 2023 2,439.11 4.2 % 539.37 12.1 % 62.38 (91.8 %) 0.07
Q4 2023 2,563.43 2.9 % 649.72 3.4 % 168.87 (1.1 %) 0.19
2023 10,203.78 6.9 % 2,271.50 8.9 % 490.69 (54.5 %) 0.55

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2014 17.14 % 4.57 % 4.18 %
Q2 2014 16.80 % 4.65 % 4.13 %
Q3 2014 16.67 % 4.66 % 4.13 %
Q4 2014 16.59 % 4.81 % 4.09 %
Q1 2015 16.16 % 4.69 % 3.99 %
Q2 2015 16.06 % 4.53 % 3.91 %
Q3 2015 16.12 % 4.45 % 3.73 %
Q4 2015 16.54 % 4.58 % 3.83 %
Q1 2016 16.87 % 4.62 % 3.81 %
Q2 2016 17.21 % 4.44 % 3.57 %
Q3 2016 17.39 % 4.33 % 3.44 %
Q4 2016 17.17 % 4.40 % 3.42 %
Q1 2017 17.71 % 4.66 % 3.44 %
Q2 2017 18.43 % 4.91 % 3.76 %
Q3 2017 18.93 % 5.13 % 3.93 %
Q4 2017 19.91 % 5.69 % 4.67 %
Q1 2018 19.93 % 5.61 % 4.70 %
Q2 2018 19.95 % 5.70 % 4.68 %
Q3 2018 19.92 % 5.61 % 4.66 %
Q4 2018 20.41 % 5.79 % 4.13 %
Q1 2019 20.56 % 6.26 % 4.05 %
Q2 2019 20.41 % 6.59 % 3.78 %
Q3 2019 20.68 % 7.38 % 3.95 %
Q4 2019 20.73 % 7.79 % 4.22 %
Q1 2020 20.57 % 7.86 % 4.38 %
Q2 2020 20.96 % 8.68 % 4.92 %
Q3 2020 21.38 % 8.76 % 4.82 %
Q4 2020 21.69 % 8.99 % 5.04 %
Q1 2021 21.94 % 8.77 % 4.72 %
Q2 2021 21.65 % 7.84 % 4.00 %
Q3 2021 21.03 % 7.40 % 3.72 %
Q4 2021 21.25 % 7.16 % 3.57 %
Q1 2022 21.37 % 7.32 % 3.93 %
Q2 2022 21.94 % 7.34 % 3.91 %
Q3 2022 22.00 % 7.24 % 3.69 %
Q4 2022 21.84 % 7.25 % 3.77 %
Q1 2023 21.81 % 7.31 % 3.84 %
Q2 2023 21.85 % 7.32 % 3.67 %
Q3 2023 22.21 % 7.51 % 3.88 %
Q4 2023 22.26 % 7.52 % 3.79 %
2023 22.26 % 7.53 % 3.79 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2014 900.00 0.22 0.22 0.95
Q2 2014 900.00 0.23 0.23 0.93
Q3 2014 900.00 0.23 0.23 0.98
Q4 2014 900.00 0.24 0.24 1.06
Q1 2015 900.00 0.24 0.24 1.11
Q2 2015 900.00 0.25 0.25 1.09
Q3 2015 900.00 0.24 0.24 1.13
Q4 2015 900.00 0.26 0.26 1.23
Q1 2016 900.00 0.25 0.26 1.17
Q2 2016 900.00 0.25 0.26 1.23
Q3 2016 900.00 0.25 0.26 1.27
Q4 2016 900.00 0.25 0.27 1.37
Q1 2017 900.00 0.27 0.27 1.44
Q2 2017 900.00 0.29 0.30 1.41
Q3 2017 900.00 0.42 0.31 1.58
Q4 2017 900.00 0.50 0.38 1.66
Q1 2018 900.00 0.51 0.38 1.74
Q2 2018 900.00 0.51 0.39 1.67
Q3 2018 900.00 0.40 0.39 1.73
Q4 2018 900.00 0.34 0.34 1.84
Q1 2019 900.00 0.34 0.35 1.79
Q2 2019 900.00 0.32 0.33 1.56
Q3 2019 900.00 0.34 0.35 1.64
Q4 2019 900.00 0.38 0.38 1.65
Q1 2020 900.00 0.42 0.42 1.61
Q2 2020 900.00 0.49 0.49 1.75
Q3 2020 900.00 0.48 0.48 1.51
Q4 2020 900.00 0.50 0.49 1.69
Q1 2021 900.00 0.45 0.45 1.45
Q2 2021 900.00 0.37 0.36 1.51
Q3 2021 900.00 0.35 0.34 1.36
Q4 2021 900.00 0.33 0.33 1.52
Q1 2022 900.00 0.38 0.38 1.42
Q2 2022 900.00 0.38 0.38 1.49
Q3 2022 900.00 1.18 0.38 2.13
Q4 2022 900.00 1.20 0.40 1.56
Q1 2023 900.00 1.22 0.42 1.41
Q2 2023 900.00 1.32 0.41 1.57
Q3 2023 900.00 0.55 0.44 1.34
Q4 2023 900.00 0.55 0.43 1.51

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2014 20.10 20.10 4.67
Q2 2014 22.80 22.80 5.73
Q3 2014 24.55 24.55 5.88
Q4 2014 22.06 22.06 4.97
Q1 2015 21.92 21.92 4.75
Q2 2015 21.91 21.91 4.93
Q3 2015 19.12 19.12 4.06
Q4 2015 17.34 17.34 3.62
Q1 2016 16.93 16.32 3.67
Q2 2016 20.21 19.45 4.07
Q3 2016 15.47 14.89 3.01
Q4 2016 19.50 18.44 3.61
Q1 2017 20.49 20.12 3.83
Q2 2017 19.67 19.34 4.06
Q3 2017 14.62 19.58 3.88
Q4 2017 12.31 16.40 3.70
Q1 2018 15.18 20.11 4.44
Q2 2018 14.73 19.47 4.51
Q3 2018 17.30 17.88 4.04
Q4 2018 20.88 20.41 3.81
Q1 2019 21.37 20.89 4.02
Q2 2019 24.19 23.62 4.98
Q3 2019 24.03 23.50 5.03
Q4 2019 21.28 21.28 4.93
Q1 2020 22.22 22.22 5.76
Q2 2020 22.74 22.74 6.40
Q3 2020 27.27 27.27 8.57
Q4 2020 24.51 24.89 7.25
Q1 2021 27.81 28.28 8.70
Q2 2021 33.64 34.35 8.21
Q3 2021 32.07 32.79 8.30
Q4 2021 32.45 32.45 7.12
Q1 2022 30.59 30.59 8.23
Q2 2022 26.82 26.82 6.94
Q3 2022 10.49 32.74 5.79
Q4 2022 8.67 25.98 6.65
Q1 2023 10.49 30.43 9.06
Q2 2023 10.57 34.05 8.87
Q3 2023 24.77 31.04 10.11
Q4 2023 24.21 30.69 8.75

Business Segments (Million)

Compared With The
Period Retail and wholesale Head office and leasing and others Others
Q1 2014 1,222.98 24.03 -
Q2 2014 1,511.39 22.85 -
Q3 2014 1,208.79 26.42 -
Q4 2014 1,308.74 22.64 -
Q1 2015 1,408.03 26.15 -
Q2 2015 1,725.54 27.56 -
Q3 2015 1,348.57 26.93 -
Q4 2015 1,553.66 30.55 -
Q1 2016 1,640.02 28.03 -
Q2 2016 2,020.19 28.36 -
Q3 2016 1,583.28 28.54 -
Q4 2016 1,928.23 38.64 -
Q1 2017 1,875.71 - -
Q2 2017 2,165.24 - -
Q3 2017 1,750.81 9.20 -
Q4 2017 2,189.82 - -
Q1 2018 1,772.52 - 25.74
Q2 2018 1,987.55 - 34.92
Q3 2018 1,701.84 - 42.85
Q4 2018 1,897.55 - 52.15
Q1 2019 1,902.26 - 57.40
Q2 2019 2,113.62 - 57.98
Q3 2019 1,871.89 - 65.47
Q4 2019 2,028.50 - 68.77
Q1 2020 2,307.18 - 72.31
Q2 2020 2,508.53 - 65.89
Q3 2020 1,750.05 - 62.76
Q4 2020 1,987.30 - 54.14
Q1 2021 2,042.29 - 54.85
Q2 2021 2,117.96 - 53.31
Q3 2021 1,949.68 - 51.17
Q4 2021 2,084.42 - 50.01
Q1 2022 2,410.51 - 51.87
Q2 2022 2,194.53 - 59.99
Q3 2022 2,275.72 - 64.82
Q4 2022 2,428.34 - 63.76
Q1 2023 2,721.79 - 59.61
Q2 2023 2,359.17 - 60.67
Q3 2023 2,377.04 - 62.07
Q4 2023 2,496.18 - 67.24

Analysts Estimates (Million)

Item Q4 2023 (e) Q4 2023 (a) Change‬
Average 158.82 168.87 6.33 %

Estimates vs Actual (Million)

Item Q4 2023 (e) Q4 2023 (a) Change
Al Rajhi Capital 170.00 168.87 (0.7) %
U-Capital 166.00 168.87 1.7 %
OSOOL AND BAKHEET 164.03 168.87 2.9 %
SNB Capital 161.00 168.87 4.9 %
AlJazira Capital 153.90 168.87 9.7 %
Sico 138.00 168.87 22.4 %

Current
Market Cap (M Riyal) 10,152.00
Enterprise Value (EV) (M) 9,818.02
Shares Outstanding ((M)) 900.00
EPS ( Riyal) (TTM) 0.54
Book Value (BV) ( Riyal) 1.33
Par Value ( Riyal) 1.00
Adjusted P/E (Last12) 26.47
P/E (TTM) 20.84
Price/book 8.48
Return on Average Assets (%) (TTM) 7.4
Return on Average Equity (%) (TTM) 39.5

Share Price

11.28
(0.04) (0.35 %)

Abdullah Al Othaim Markets Co. (A.OTHAIM MARKET)


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