Saudi Arabian developer Red Sea International posted a net loss of 130.4 million riyals ($34.74 million) for 2021, down by 17.6 percent compared to the previous year. 

Accumulated losses have now reached 48.5 percent of the capital, but this was mainly a result of  project delays and increase in additional costs caused by the pandemic, the company told the Saudi Stock Exchange (Tadawul). 

“[The accumulated losses] came as a result of extension of the ongoing projects due to the COVID-19 pandemic, whereby the company was unable to reduce the number of manpower in these projects, and the company was also unable to compensate for this increase in the additional costs,” the developer said. 

The company’s total sales/revenue for 2021 also fell 12.2 percent to 468.2 million riyals. The net shareholders’ equity (after excluding minority rights) attributable to shareholders as of December 31, 2021 stood at 309.4 million riyals, down by 31.9 percent from the previous year’s 441.7 million riyals. 

(Reporting by Cleofe Maceda; editing by Seban Scaria)