Wednesday, Jul 20, 2011
(This item was originally published Tuesday.)
RIYADH (Zawya Dow Jones)--Savola Group (2050.SA), Saudi Arabia's largest food company, said Tuesday its second-quarter net profit rose 11% to 230.7 million Saudi riyals ($61.5 million), largely due to higher sales and increased market share in food and retail sectors.
Cairo-based EFG-Hermes had expected Savola to post a second-quarter net profit of SAR229 million and Riyadh-based NCB Capital had penciled in SAR235 million.
Savola, in a statement posted on the Saudi bourse website, said earnings per share for the first half of the year stood at SAR0.79 compared with SAR1.20 in the corresponding period in 2010, while second-quarter operating profit surged 40.8% to SAR423.4 million.
The company said its second-quarter net income before capital gain was above its previous forecast of SAR225 million, "despite the impact on sales of some countries due to the current situation in the region."
Savola it expects to record a net income, before capital gain, of SAR300 million in the third quarter this year.
In a separate statement, Savola said its board of directors had approved to distribute SAR125 million, or SAR0.25 a share, in quarterly dividends for registered shareholders as of July 25. Dividends will be paid out starting August 8.
Savola shares closed down 2.26% at SAR25.90 on the Riyadh bourse Monday.
-By Summer Said, Dow Jones Newswires; +966-546-842373; summer.said@dowjones.com
Copyright (c) 2011 Dow Jones & Co.
(END) Dow Jones Newswires
20-07-11 0352GMT
