Riyadh – Mubasher: Saudia Dairy and Foodstuff Company (SADAFCO) posted a 21.8% annual increase in net profits during the first quarter (Q1) of 2020 to SAR 70.53 million, compared to SAR 57.90 million in Q1-19.

Revenue soared by 16.64% year-on-year (YoY) to SAR 565.99 million in the period ended 30 June 2020, according to a bourse statement on Sunday.

SADAFCO attributed the profit hike during Q1-20 primarily to the surge in sales. Moreover, the profit margin was maintained at 32.4% whilst selling and distribution expenses soared by SAR 3 million.

The expense to sales ratio improved to 13%, while general and administrative expenses rose by SAR 8.7 million, owed to the company’s contributions to the health fund aimed to face the COVID-19 repercussions in KSA, Kuwait, Jordan, and Bahrain.

In addition, financing income retreated by SAR 2.2 million due to lower returns of SIBOR-related bank deposits.