MESC Announces Interim Financial Results for Period Ending 30/09/2012

18/10/2012 15:20 AST

Middle East Specialized Cables Co. (MESC) announces interim financial results for the period ending 30/09/2012 as follows:

1. Net Profit during the third quarter amounts to SR 9.2 million versus net loss of SR 6.5 million for the same quarter of the previous year, and versus a net profit of SR 14.3 million for the previous quarter, a decrease of 36%.

2. The gross profit during the third quarter amounts to SR 40.4 million versus gross profit of SR 33.9 million for the same quarter of last year, an increase of 19%.

3. The operating profit during the third quarter amounts to SR 14.9 million versus an operating profit of SR 8.4 million for the same quarter of last year, an increase of 77%. 4. The net profit during the nine months amounts to SR 34.3 million versus net loss of SR 26.1 million for the same period of last year.

5. The earnings per share during the first nine month amounts to SR 0.86 versus loss of SR 0.65 for the same period of last year.

6. The gross profit during the nine months of 2012 amounts to SR 129.7 million versus gross profit of SR 70.0 million for the same period of last year, an increase of 85%.

7. The operating profit during the nine months amounts to SR 53.9 million versus an operating loss of SR 7.4 million for the same period of last year.

8.The reason for recording net profits during the third quarter comparing to net losses for the same quarter of last year is due to the increase in control cables sales volume which has better profit margins relative to the power cables sales volume which has low profit margins despite the decline in the total sales volume of the company during the same period.

9.The reason for recording net profits during the first nine months comparing to net losses for the same period of last year is due to the increase in control cables sales volume which has better profit margins relative to the power cables sales volume which has low profit margins despite the decline in the total sales volume of the company during the same period, in addition to the decrease in the companys share of losses of our Jordan subsidiaries and starting to record net profits in MESC-RAK (wholly owned subsidiary) in the nine month period.

10-The reason for the decrease of net profit of third quarter comparing to previous quarter is due to the reverse of the excess Zakat provision of SR 6 million during the previous quarter. Certain comparative figures have been reclassified to conform with the presentation in the current period.

Tadawul