Fawaz Alhokair swings to net profit of SAR 69 mln in H1 2021/22

Fawaz Alhokair swings to net profit of SAR 69 mln in H1 2021/22

11/11/2021 Argaam Exclusive

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Fawaz Abdulaziz Alhokair Co. swung to a net profit of SAR 69 million for the six-month period ended Sept. 30, 2021, against a net loss of SAR 624.2 million in the year-earlier period.



Financials (M)

Item 6m 2020 6m 2021 Change‬
Revenues 1,750.55 3,061.98 74.9 %
Gross Income 6.64 564.94 8410.7 %
Operating Income (347.10) 201.71 158.1 %
Net Income (624.22) 68.61 111.0 %
Average Shares 114.77 114.77 -
EPS (Riyals) (5.44) 0.60 111.0 %

In the second quarter, the company turned to a net profit of SAR 22 million versus a net loss of SAR 98.79 million a year earlier, driven by a 14.8% YoY increase in the second-quarter revenue to SAR 1.361 billion. 



Current Quarter Comparison (M)

Compared With The
Item Q2 2020 Q2 2021 Change‬
Revenues 1,185.60 1,361.28 14.8 %
Gross Income 143.36 232.34 62.1 %
Operating Income (41.11) 77.15 287.7 %
Net Income (98.79) 21.73 122.0 %
Average Shares 114.77 114.77 -
EPS (Riyals) (0.86) 0.19 122.0 %

The fashion retailer posted a rise of 74.9% year-on-year (YoY), or SAR 1.311.4 billion, in revenue to SAR 3.062 billion for H1 FY2022, as the severe impact of the COVID-19 containment measures witnessed a year earlier were gradually eased and trade rebounded.

 

Gross profit increased to SAR 564.9 million for the current period versus a gross loss of SAR 190.9 million in the first half of FY2021.

 

Moreover, selling, general and administrative expenses (SG&A) increased by 30% YoY to SAR 259.7 million in the current period. Depreciation and amortization decreased by 32.8% YoY to SAR 103.5 million, with net finance costs declining 25.6% YoY to SAR 142.8 million.

In the second quarter, the company turned to a net profit after Zakat and tax of SAR 20.9 million versus a net loss of SAR 98.79 million a year earlier, driven by a 14.8% YoY increase in the second-quarter revenue to SAR 1.361 billion.

 

On a sequential basis, Q2 net profit more than halved from SAR 45.7 million, as revenue saw a drop of 20% to SAR 339.4 million, compared to the second quarter of fiscal year 2021. Zakat and income tax expenses increased by SAR 14.4 million to SAR 24.7 million.

 

Shareholders’ equity, after minority interest, fell by 41.3% to SAR 532.2 million in the six-month period, from SAR 907.7 million a year earlier.

 

Accumulated losses stood at SAR 969.2 million in the six-month period, representing 46.2% of the company’s total capital.

 

 

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Financial results (Million)

Period Revenues Change Gross Income Change Operating Income Change
Q1 2012 865.28 19.4 % 224.13 (33.1 %) 108.31 16.8 %
Q2 2012 1,383.29 37.2 % 404.35 199.6 % 266.77 31.6 %
Q3 2012 1,172.92 54.7 % 261.56 58.2 % 117.28 41.8 %
Q4 2012 1,237.05 74.0 % 240.33 55.1 % 91.58 49.9 %
Q1 2013 1,258.32 45.4 % 339.66 51.5 % 175.15 61.7 %
Q2 2013 1,569.70 13.5 % 452.91 12.0 % 282.60 5.9 %
Q3 2013 1,297.24 10.6 % 322.90 23.5 % 142.66 21.6 %
Q4 2013 1,357.14 9.7 % 282.50 17.5 % 119.79 30.8 %
Q1 2014 1,664.57 32.3 % 441.75 30.1 % 215.89 23.3 %
Q2 2014 2,071.64 32.0 % 574.47 26.8 % 290.39 2.8 %
Q3 2014 1,548.51 19.4 % 362.94 12.4 % 126.18 (11.6 %)
Q4 2014 1,613.95 18.9 % 408.02 44.4 % 213.39 78.1 %
Q1 2015 1,870.41 12.4 % 512.96 16.1 % 265.93 23.2 %
Q2 2015 2,102.21 1.5 % 618.82 7.7 % 374.36 28.9 %
Q3 2015 1,454.96 (6.0 %) 394.62 8.7 % 152.45 20.8 %
Q4 2015 1,515.98 (6.1 %) 239.39 (41.3 %) 59.35 (72.2 %)
Q1 2016 2,189.93 17.1 % 568.80 10.9 % 318.72 19.9 %
Q2 2016 1,665.26 (20.8 %) 315.61 (49.0 %) 109.86 (70.7 %)
Q3 2016 1,430.49 (1.7 %) 311.56 (21.0 %) 93.81 (38.5 %)
Q4 2016 1,405.98 (7.3 %) 321.10 34.1 % 70.41 18.6 %
Q1 2017 2,069.94 (5.5 %) 550.46 (3.2 %) 306.04 (4.0 %)
Q2 2017 1,503.55 (9.7 %) 300.12 (4.9 %) 86.21 (21.5 %)
Q3 2017 1,349.77 (5.6 %) 318.71 2.3 % 89.02 (5.1 %)
Q4 2017 1,193.26 (15.1 %) 45.34 (85.9 %) (179.56) (355.0 %)
Q1 2018 1,845.73 (10.8 %) 523.34 (4.9 %) 304.88 (0.4 %)
Q2 2018 1,273.97 (15.3 %) 249.91 (16.7 %) 54.49 (36.8 %)
Q3 2018 1,233.53 (8.6 %) 276.69 (13.2 %) 60.95 (31.5 %)
Q4 2018 1,072.57 (10.1 %) 34.57 (23.8 %) (84.52) 52.9 %
Q1 2019 1,732.40 (6.1 %) 507.52 (3.0 %) 357.03 17.1 %
Q2 2019 1,234.59 (3.1 %) 183.28 (26.7 %) 43.84 (19.5 %)
Q3 2019 1,289.78 4.6 % 258.24 (6.7 %) 102.14 67.6 %
Q4 2019 1,085.03 1.2 % 46.84 35.5 % (163.11) (93.0 %)
Q1 2020 564.95 (67.4 %) (136.73) (126.9 %) (305.99) (185.7 %)
Q2 2020 1,185.60 (4.0 %) 143.36 (21.8 %) (41.11) (193.8 %)
Q3 2020 1,349.71 4.6 % 281.45 9.0 % 91.63 (10.3 %)
Q4 2020 1,132.26 4.4 % (270.38) (677.3 %) (466.45) (186.0 %)
Q1 2021 1,700.71 201.0 % 332.60 343.3 % 124.55 140.7 %
Q2 2021 1,361.28 14.8 % 232.34 62.1 % 77.15 287.7 %


Profit Performance (Million)

Period Net Income Change EPS(Riyal) Extraordinary Income/Expense Net Profit Before Unusual Items EPS Before XO Items
Q1 2012 120.90 48.0 % 1.05 - 120.90 1.05
Q2 2012 252.44 25.0 % 2.20 - 252.44 2.20
Q3 2012 110.50 44.5 % 0.96 - 110.50 0.96
Q4 2012 135.86 55.6 % 1.18 - 135.86 1.18
Q1 2013 165.18 36.6 % 1.44 - 165.18 1.44
Q2 2013 282.09 11.7 % 2.46 - 282.09 2.46
Q3 2013 133.32 20.7 % 1.16 - 133.32 1.16
Q4 2013 190.78 40.4 % 1.66 - 190.78 1.66
Q1 2014 191.27 15.8 % 1.67 - 191.27 1.67
Q2 2014 303.74 7.7 % 2.65 - 303.74 2.65
Q3 2014 106.20 (20.3 %) 0.93 - 106.20 0.93
Q4 2014 201.74 5.7 % 1.76 - 201.74 1.76
Q1 2015 210.80 10.2 % 1.84 (19.12) 229.93 2.00
Q2 2015 310.67 2.3 % 2.71 (30.40) 341.06 2.97
Q3 2015 91.17 (14.1 %) 0.79 (33.60) 124.77 1.09
Q4 2015 3.17 (98.4 %) 0.03 (54.65) 57.81 0.50
Q1 2016 223.19 5.9 % 1.94 (57.45) 280.64 2.45
Q2 2016 66.82 (78.5 %) 0.58 - 66.82 0.58
Q3 2016 49.26 (46.0 %) 0.43 - 49.26 0.43
Q4 2016 86.09 2620.1 % 0.75 - 86.09 0.75
Q1 2017 232.41 4.1 % 2.03 - 232.41 2.03
Q2 2017 6.84 (89.8 %) 0.06 (41.07) 47.91 0.42
Q3 2017 48.69 (1.2 %) 0.42 - 48.69 0.42
Q4 2017 (184.45) (314.3 %) (1.61) - (184.45) (1.61)
Q1 2018 249.19 7.2 % 2.17 - 249.19 2.17
Q2 2018 10.03 46.6 % 0.09 - 10.03 0.09
Q3 2018 26.53 (45.5 %) 0.23 26.26 0.27 0.00
Q4 2018 (141.00) 23.6 % (1.23) (1.20) (139.80) (1.22)
Q1 2019 224.05 (10.1 %) 1.95 (5.98) 230.02 2.00
Q2 2019 (27.22) (371.4 %) (0.24) (2.86) (24.36) (0.21)
Q3 2019 34.47 30.0 % 0.30 140.38 (105.91) (0.92)
Q4 2019 (887.56) (529.5 %) (7.73) (578.84) (308.72) (2.69)
Q1 2020 (525.43) (334.5 %) (4.58) (84.52) (440.92) (3.84)
Q2 2020 (98.79) (263.0 %) (0.86) 33.51 (132.30) (1.15)
Q3 2020 (128.56) (472.9 %) (1.12) (107.86) (20.71) (0.18)
Q4 2020 (337.87) 61.9 % (2.94) (160.95) (176.92) (1.54)
Q1 2021 46.88 108.9 % 0.41 4.08 42.81 0.37
Q2 2021 21.73 122.0 % 0.19 27.99 (6.26) (0.05)

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2012 20.32 % 17.17 % 14.55 %
Q2 2012 25.52 % 17.58 % 14.45 %
Q3 2012 25.29 % 17.06 % 13.82 %
Q4 2012 24.26 % 16.26 % 13.30 %
Q1 2013 24.66 % 16.64 % 13.14 %
Q2 2013 24.71 % 16.58 % 13.24 %
Q3 2013 25.28 % 16.90 % 13.36 %
Q4 2013 25.50 % 17.25 % 14.07 %
Q1 2014 25.47 % 17.04 % 13.54 %
Q2 2014 25.38 % 16.13 % 12.82 %
Q3 2014 25.02 % 15.50 % 11.92 %
Q4 2014 25.91 % 16.45 % 11.64 %
Q1 2015 26.16 % 16.89 % 11.85 %
Q2 2015 26.67 % 18.17 % 12.32 %
Q3 2015 27.47 % 18.99 % 12.75 %
Q4 2015 25.43 % 17.09 % 10.85 %
Q1 2016 25.08 % 17.13 % 11.07 %
Q2 2016 22.24 % 14.15 % 7.76 %
Q3 2016 21.10 % 13.08 % 6.68 %
Q4 2016 22.67 % 13.51 % 7.22 %
Q1 2017 22.81 % 13.40 % 6.61 %
Q2 2017 23.14 % 13.41 % 6.48 %
Q3 2017 23.55 % 13.55 % 6.56 %
Q4 2017 19.86 % 10.13 % 2.36 %
Q1 2018 20.15 % 10.52 % 2.74 %
Q2 2018 20.08 % 10.35 % 2.18 %
Q3 2018 19.75 % 10.08 % 1.35 %
Q4 2018 19.99 % 11.53 % 2.21 %
Q1 2019 20.12 % 15.28 % 1.89 %
Q2 2019 19.00 % 18.25 % 1.25 %
Q3 2019 18.46 % 21.50 % (0.75 %)
Q4 2019 18.64 % 22.90 % (3.91 %)
Q1 2020 8.42 % 13.91 % (21.08 %)
Q2 2020 7.56 % 11.77 % (23.95 %)
Q3 2020 8.00 % 11.49 % (21.57 %)
Q4 2020 0.42 % 4.01 % (18.21 %)
Q1 2021 9.07 % 10.69 % (5.35 %)
Q2 2021 10.39 % 11.76 % (2.91 %)


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2012 114.77 4.24 4.24 13.27
Q2 2012 114.77 4.68 4.68 15.47
Q3 2012 114.77 4.98 4.98 16.43
Q4 2012 114.77 5.40 5.40 17.62
Q1 2013 114.77 5.79 5.79 17.23
Q2 2013 114.77 6.04 6.04 19.68
Q3 2013 114.77 6.24 6.24 19.47
Q4 2013 114.77 6.72 6.72 21.14
Q1 2014 114.77 6.95 6.95 20.06
Q2 2014 114.77 7.14 7.14 22.70
Q3 2014 114.77 6.90 6.90 21.34
Q4 2014 114.77 7.00 7.00 20.91
Q1 2015 114.77 7.17 7.33 20.84
Q2 2015 114.77 7.23 7.66 22.71
Q3 2015 114.77 7.10 7.82 22.66
Q4 2015 114.77 5.37 6.57 22.73
Q1 2016 114.77 5.47 7.01 23.45
Q2 2016 114.77 3.35 4.62 23.76
Q3 2016 114.77 2.98 3.96 22.86
Q4 2016 114.77 3.71 4.21 18.41
Q1 2017 114.77 3.79 3.79 25.99
Q2 2017 114.77 3.26 3.62 25.84
Q3 2017 114.77 3.26 3.62 26.00
Q4 2017 114.77 0.90 1.26 19.59
Q1 2018 114.77 1.05 1.41 21.71
Q2 2018 114.77 1.08 1.08 21.81
Q3 2018 114.77 0.88 0.65 22.01
Q4 2018 114.77 1.26 1.04 21.59
Q1 2019 114.77 1.04 0.88 23.52
Q2 2019 114.77 0.72 0.58 22.93
Q3 2019 114.77 0.79 (0.35) 23.25
Q4 2019 114.77 (5.72) (1.82) 14.07
Q1 2020 114.77 (12.25) (7.67) 9.81
Q2 2020 114.77 (12.87) (8.61) 8.74
Q3 2020 114.77 (14.29) (7.87) 7.63
Q4 2020 114.77 (9.50) (6.72) 4.81
Q1 2021 114.77 (4.52) (2.50) 5.31
Q2 2021 114.77 (3.47) (1.40) 5.52

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2012 10.86 10.86 3.47
Q2 2012 10.46 10.46 3.16
Q3 2012 11.12 11.12 3.37
Q4 2012 11.75 11.75 3.60
Q1 2013 13.05 13.05 4.38
Q2 2013 15.85 15.85 4.87
Q3 2013 19.79 19.79 6.34
Q4 2013 18.92 18.92 6.02
Q1 2014 23.70 23.70 8.21
Q2 2014 24.43 24.43 7.68
Q3 2014 33.28 33.28 10.76
Q4 2014 25.89 25.89 8.66
Q1 2015 24.68 24.12 8.49
Q2 2015 24.81 23.41 7.90
Q3 2015 16.90 15.33 5.29
Q4 2015 24.10 19.69 5.69
Q1 2016 13.92 10.87 3.25
Q2 2016 24.42 17.71 3.44
Q3 2016 20.62 15.53 2.69
Q4 2016 18.17 16.01 3.66
Q1 2017 15.54 15.54 2.26
Q2 2017 23.59 21.26 2.98
Q3 2017 24.22 21.83 3.04
Q4 2017 61.70 44.17 2.84
Q1 2018 46.73 34.83 2.26
Q2 2018 44.06 44.06 2.17
Q3 2018 48.47 65.43 1.94
Q4 2018 31.92 38.60 1.87
Q1 2019 43.09 51.27 1.91
Q2 2019 58.40 72.72 1.83
Q3 2019 60.01 NEG 2.03
Q4 2019 NEG NEG 3.33
Q1 2020 NEG NEG 3.27
Q2 2020 NEG NEG 3.96
Q3 2020 NEG NEG 5.56
Q4 2020 NEG NEG 8.30
Q1 2021 NEG NEG 7.76
Q2 2021 NEG NEG 8.33

Business Segments (Million)

Compared With The
Period Fashion Retail Indoor Entertainment Food and Beverages
Q1 2016 2,174.25 15.68 -
Q2 2016 1,654.59 10.67 -
Q1 2017 2,051.25 18.69 -
Q2 2017 1,487.68 15.87 -
Q3 2017 1,349.77 - -
Q4 2017 1,146.74 46.52 -
Q1 2018 1,826.98 18.75 -
Q2 2018 1,254.22 19.75 -
Q3 2018 1,213.86 19.67 -
Q4 2018 1,108.20 (35.63) -
Q1 2019 1,714.68 17.71 -
Q2 2019 1,217.02 17.57 -
Q3 2019 1,270.18 19.60 -
Q4 2019 1,012.92 19.35 52.76
Q1 2020 545.73 0.07 19.14
Q2 2020 1,078.98 0.75 105.88
Q3 2020 1,228.32 2.02 119.36
Q4 2020 1,033.78 2.39 96.09
Q1 2021 1,583.17 9.94 107.10
Q2 2021 1,218.62 12.89 130.27

Analysts Estimates (Million)

Item Q2 2021 (e) Q2 2021 (a) Change‬
Average (23.50) 21.73 192.46 %

Estimates vs Actual (Million)

Item Q2 2021 (e) Q2 2021 (a) Change
SNB Capital 31.00 21.73 (29.9) %
Al Rajhi Capital 15.00 21.73 44.9 %
AlJazira Capital (116.50) 21.73 118.7 %

Current
Market Cap (M Riyal) 1,602.61
Enterprise Value (EV) (M) 3,314.19
Shares Outstanding ((M)) 114.80
EPS ( Riyal) (TTM) (9.92)
Book Value (BV) ( Riyal) (7.04)
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) Neg
P/E (TTM) NEG
Price/book (1.98)
Return on Average Assets (%) (TTM) (19.50 )
Return on Average Equity (%) (TTM) -

Share Price

Fawaz Abdulaziz Alhokair Co. (CENOMI RETAIL)


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