Gross profit registered SAR42 mn in 1Q12 compared to SAR45.2 mn in 1Q11
Operating profit dropped 3.3% YoY to SAR37.4 mn down from SAR38.7 mn
Net income in 1Q12 came in at SAR38.1 mn (EPS: SAR0.32) up 27% from SAR30.1 mn (EPS: SAR0.25)
Analyst comments:
Akaria released preliminary 1Q12 results reporting a gross profit of SAR42 mn down 7% from the SAR45.2 mn reported in 1Q11. This figure is correspondent to 37% decline QoQ as a direct result of variations in land sales as Akaria realized in 4Q11. Operating profit did not change significantly YoY down only 3.3% to SAR37.4 mn from SAR38.7 mn. Net income came in at SAR38.1 mn (EPS:SAR0.32) up 27% from SAR30.1 (EPS:SAR0.25) mn in 1Q12 and down 37% from SAR60.6 mn (EPS:SAR0.50) in 4Q11. In general, the company's overall long-term operating prospects remain strong as its core operating rental portfolio maintains attractive exposure to the Riyadh market. Akaria has raised its benchmark rentals by high double digit figures in 2011, in line with the market. This will continue to reflect gradually in revenues on renewals of existing contracts.
Mostafa El-Maghraby
Senior Financial Analyst
Research Group
Global Investment House
t: (965) 2295-1279
f: (965) 2295-1299
e: melmaghraby@global.com.kw
w: www.globalinv.net
P.O.Box: 28807 Safat, 13149
Kuwait
© Press Release 2012
