SRECO’s 2014 net profit up 79% to SAR 276 mln

18/01/2015 Argaam Exclusive

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Share Price

19.24
0.10 0.52 %

Saudi Real Estate Co. (ALAKARIA)

 

Saudi Real Estate Company (SRECO), which operates residential and commercial centers in major Saudi cities, reported 2014’s net profit of SAR 276 million, a 77 percent increase compared to the last year.

 

A net profit of SAR 129.5 million was reported for Q4-2014 compared to SAR 61.3 million for Q3



Financials (M)

Item 2013 2014 Change‬
Revenues 258.82 341.24 31.8 %
Gross Income 181.39 253.40 39.7 %
Operating Income 163.27 228.64 40.0 %
Net Income 156.02 276.25 77.1 %
Average Shares 276.53 276.53 -
EPS (Riyals) 0.56 1.00 77.1 %

 

The company attributed the increase of 2014’s net profit, compared to the same period last year, to recognizing SAR 68.3 million profit from land sale during the current period and revenue from Investee companies. Recognizing SAR 17.6 million losses during the same period of the previous year from Arabian United Float Glass company and recognize SAR 5.8 million losses during the same period of the previous year from the removal and demolition of the old Akaria building sixty street-Malaz.

 

The increase of Q4-2014’s net profit compared to the same period last year and the previous (Q3-2014) was attributed to recognizing SAR 68.3 million profit from land sale during the fourth quarter of the current year and revenue from Investee companies.

 

Excluding the capital gain of SAR 68.3 million from land sale during the fourth quarter of the current year, the company realized a profit of SAR 210.7 million in 2014, a 35 percent increase compared to the previous year.



Current Quarter Comparison (M)

Compared With The
Item Q4 2013 Q4 2014 Change‬
Revenues 65.77 144.51 119.7 %
Gross Income 47.44 117.48 147.6 %
Operating Income 42.11 112.93 168.2 %
Net Income 58.39 132.20 126.4 %
Average Shares 276.53 276.53 -
EPS (Riyals) 0.21 0.48 126.4 %


Financial results (Million)

Period Revenues Change Gross Income Change Net Income Change EPS(Riyal)
Q1 2005 39.57 (64.2 %) 21.96 (76.2 %) 19.87 (77.5 %) 0.08
Q2 2005 47.16 25.7 % 28.51 61.6 % 47.51 333.4 % 0.19
Q3 2005 38.27 15.5 % 18.15 27.1 % 17.13 19.1 % 0.07
Q4 2005 53.53 65.2 % 55.92 282.2 % 53.80 79.5 % 0.22
Q1 2006 45.69 15.5 % 30.77 40.1 % 30.14 51.7 % 0.12
Q2 2006 47.31 0.3 % 25.89 (9.2 %) 22.23 (53.2 %) 0.09
Q3 2006 35.14 (8.2 %) 18.10 (0.3 %) 15.79 (7.9 %) 0.06
Q4 2006 33.37 (37.7 %) 31.19 (44.2 %) 45.95 (14.6 %) 0.17
Q1 2007 35.68 (21.9 %) 22.20 (27.9 %) 31.36 4.1 % 0.11
Q2 2007 55.21 16.7 % 32.73 26.4 % 31.44 41.4 % 0.11
Q3 2007 63.89 81.8 % 46.99 159.6 % 45.15 185.9 % 0.16
Q4 2007 87.91 163.4 % 44.96 44.1 % 64.77 41.0 % 0.23
Q1 2008 47.66 33.6 % 29.26 31.8 % 28.39 (9.5 %) 0.10
Q2 2008 91.37 65.5 % 46.16 41.0 % 44.92 42.9 % 0.16
Q3 2008 42.47 (33.5 %) 25.69 (45.3 %) 31.42 (30.4 %) 0.11
Q4 2008 43.53 (50.5 %) 25.98 (42.2 %) 12.31 (81.0 %) 0.04
Q1 2009 43.92 (7.8 %) 30.13 3.0 % 31.02 9.3 % 0.11
Q2 2009 42.00 (54.0 %) 25.27 (45.3 %) 21.22 (52.8 %) 0.08
Q3 2009 41.87 (1.4 %) 24.89 (3.1 %) 19.80 (37.0 %) 0.07
Q4 2009 43.43 (0.2 %) 28.11 8.2 % 20.58 67.2 % 0.07
Q1 2010 50.04 13.9 % 33.22 10.3 % 30.68 (1.1 %) 0.11
Q2 2010 45.11 7.4 % 24.80 (1.8 %) 2.60 (87.8 %) 0.01
Q3 2010 58.86 40.6 % 38.27 53.8 % 33.05 66.9 % 0.12
Q4 2010 278.15 540.4 % 167.46 495.7 % 116.81 467.6 % 0.42
Q1 2011 69.62 39.1 % 45.22 36.1 % 30.16 (1.7 %) 0.11
Q2 2011 59.10 31.0 % 39.59 59.6 % 25.14 868.0 % 0.09
Q3 2011 59.12 0.5 % 38.06 (0.6 %) 33.80 2.3 % 0.12
Q4 2011 76.82 (72.4 %) 56.95 (66.0 %) 60.62 (48.1 %) 0.22
Q1 2012 60.60 (13.0 %) 42.03 (7.1 %) 38.18 26.6 % 0.14
Q2 2012 60.49 2.3 % 40.11 1.3 % 37.16 47.8 % 0.13
Q3 2012 141.32 139.0 % 52.31 37.4 % 47.24 39.8 % 0.17
Q4 2012 62.87 (18.2 %) 43.88 (22.9 %) 56.76 (6.4 %) 0.21
Q1 2013 63.21 4.3 % 45.69 8.7 % 42.15 10.4 % 0.15
Q2 2013 62.73 3.7 % 41.47 3.4 % 19.27 (48.2 %) 0.07
Q3 2013 67.11 (52.5 %) 46.80 (10.5 %) 36.21 (23.3 %) 0.13
Q4 2013 65.77 4.6 % 47.44 8.1 % 58.39 2.9 % 0.21
Q1 2014 63.76 0.9 % 43.68 (4.4 %) 37.47 (11.1 %) 0.14
Q2 2014 64.88 3.4 % 45.30 9.2 % 48.03 149.3 % 0.17
Q3 2014 68.08 1.5 % 46.94 0.3 % 61.27 69.2 % 0.22
Q4 2014 144.51 119.7 % 117.48 147.6 % 132.20 126.4 % 0.48
2014 341.24 31.8 % 253.40 39.7 % 276.25 77.1 % 1.00

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2005 48.03 % 64.89 % 52.71 %
Q2 2005 52.13 % 71.76 % 73.38 %
Q3 2005 52.89 % 71.90 % 72.73 %
Q4 2005 69.76 % 75.80 % 94.19 %
Q1 2006 72.22 % 76.29 % 96.63 %
Q2 2006 70.75 % 71.63 % 82.88 %
Q3 2006 71.94 % 70.39 % 83.56 %
Q4 2006 65.60 % 59.17 % 70.65 %
Q1 2007 64.28 % 55.77 % 76.13 %
Q2 2007 65.38 % 55.50 % 78.13 %
Q3 2007 70.75 % 61.36 % 81.79 %
Q4 2007 60.52 % 62.19 % 71.17 %
Q1 2008 60.45 % 61.31 % 66.65 %
Q2 2008 57.55 % 59.09 % 63.00 %
Q3 2008 54.22 % 55.82 % 62.91 %
Q4 2008 56.48 % 57.89 % 52.01 %
Q1 2009 57.82 % 60.15 % 54.08 %
Q2 2009 62.28 % 64.53 % 55.82 %
Q3 2009 62.03 % 64.75 % 49.24 %
Q4 2009 63.31 % 64.85 % 54.09 %
Q1 2010 62.87 % 65.29 % 52.04 %
Q2 2010 61.53 % 65.15 % 53.53 %
Q3 2010 63.01 % 65.94 % 55.63 %
Q4 2010 61.03 % 62.92 % 51.06 %
Q1 2011 61.05 % 61.89 % 50.48 %
Q2 2011 62.39 % 62.99 % 50.81 %
Q3 2011 62.30 % 63.34 % 50.95 %
Q4 2011 67.94 % 70.67 % 62.96 %
Q1 2012 69.09 % 70.46 % 65.22 %
Q2 2012 68.92 % 68.62 % 66.05 %
Q3 2012 56.42 % 54.34 % 54.01 %
Q4 2012 54.82 % 58.00 % 55.13 %
Q1 2013 55.50 % 60.86 % 55.91 %
Q2 2013 55.53 % 62.16 % 55.46 %
Q3 2013 69.48 % 80.40 % 69.53 %
Q4 2013 70.08 % 74.74 % 69.38 %
Q1 2014 69.17 % 72.93 % 67.43 %
Q2 2014 70.06 % 72.62 % 71.12 %
Q3 2014 69.85 % 71.83 % 78.16 %
Q4 2014 74.26 % 75.43 % 81.75 %
2014 74.26 % 75.43 % 80.96 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2005 244.38 0.31 0.31 5.38
Q2 2005 244.38 0.46 0.46 5.57
Q3 2005 244.38 0.47 0.47 5.64
Q4 2005 244.38 0.57 0.69 5.71
Q1 2006 244.38 0.61 0.73 6.03
Q2 2006 244.38 0.50 0.63 5.87
Q3 2006 244.38 0.50 0.62 5.90
Q4 2006 276.53 0.41 0.41 10.56
Q1 2007 276.53 0.42 0.42 10.97
Q2 2007 276.53 0.45 0.45 10.74
Q3 2007 276.53 0.56 0.56 11.03
Q4 2007 276.53 0.62 0.62 11.28
Q1 2008 276.53 0.61 0.61 11.36
Q2 2008 276.53 0.66 0.66 11.12
Q3 2008 276.53 0.61 0.61 11.12
Q4 2008 276.53 0.42 0.42 11.12
Q1 2009 276.53 0.43 0.43 11.22
Q2 2009 276.53 0.35 0.35 10.89
Q3 2009 276.53 0.31 0.31 10.99
Q4 2009 276.53 0.33 0.33 11.09
Q1 2010 276.53 0.33 0.33 11.23
Q2 2010 276.53 0.27 0.35 10.97
Q3 2010 276.53 0.31 0.40 11.11
Q4 2010 276.53 0.66 0.80 11.58
Q1 2011 276.53 0.66 0.82 11.70
Q2 2011 276.53 0.74 0.86 11.25
Q3 2011 276.53 0.74 0.86 11.35
Q4 2011 276.53 0.54 0.60 11.48
Q1 2012 276.53 0.57 0.60 11.88
Q2 2012 276.53 0.61 0.61 11.57
Q3 2012 276.53 0.66 0.66 11.80
Q4 2012 276.53 0.65 0.65 11.73
Q1 2013 276.53 0.66 0.66 11.90
Q2 2013 276.53 0.60 0.66 11.77
Q3 2013 276.53 0.56 0.64 11.72
Q4 2013 276.53 0.56 0.65 11.95
Q1 2014 276.53 0.55 0.63 11.92
Q2 2014 276.53 0.65 0.67 12.14
Q3 2014 276.53 0.74 0.74 12.20
Q4 2014 276.53 1.01 1.01 12.51

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2005 68.87 68.87 3.94
Q2 2005 77.04 77.04 6.32
Q3 2005 73.18 73.18 6.07
Q4 2005 More than 100 86.79 10.45
Q1 2006 70.68 58.86 7.13
Q2 2006 96.39 77.61 8.29
Q3 2006 More than 100 86.30 9.08
Q4 2006 48.15 48.15 1.88
Q1 2007 53.28 53.28 2.03
Q2 2007 42.47 42.47 1.78
Q3 2007 42.57 42.57 2.15
Q4 2007 48.30 48.30 2.67
Q1 2008 42.91 42.91 2.32
Q2 2008 38.87 38.87 2.32
Q3 2008 27.27 27.27 1.50
Q4 2008 27.39 27.39 1.04
Q1 2009 26.33 26.33 1.02
Q2 2009 40.63 40.63 1.29
Q3 2009 52.28 52.28 1.45
Q4 2009 45.33 45.33 1.37
Q1 2010 45.67 45.67 1.36
Q2 2010 52.49 40.03 1.27
Q3 2010 47.00 37.19 1.33
Q4 2010 23.28 19.32 1.33
Q1 2011 21.74 17.41 1.23
Q2 2011 19.01 16.48 1.25
Q3 2011 17.91 15.53 1.17
Q4 2011 28.48 25.59 1.34
Q1 2012 30.74 29.08 1.48
Q2 2012 23.93 23.93 1.27
Q3 2012 22.56 22.56 1.27
Q4 2012 29.58 29.58 1.63
Q1 2013 30.27 30.27 1.69
Q2 2013 30.99 28.00 1.57
Q3 2013 33.41 28.99 1.59
Q4 2013 36.09 31.35 1.70
Q1 2014 38.39 33.22 1.76
Q2 2014 38.09 36.89 2.04
Q3 2014 37.81 37.81 2.30
Q4 2014 19.50 19.50 1.57

Business Segments (Million)

Compared With The
Period Rents Other real estate revenues Maintenance revenues Sale of Land Amana Project
Q1 2005 30.56 0.05 0.73 7.90 0.32
Q2 2005 30.68 0.02 0.46 15.72 0.27
Q1 2006 35.03 0.05 0.25 11.38 0.23
Q2 2006 33.54 0.01 2.27 10.04 0.21
Q1 2007 34.86 0.11 0.54 - 0.17
Q2 2007 36.18 - 0.73 18.03 0.27
Q1 2008 42.25 - - 5.40 -
Q2 2008 41.83 - - 49.54 -
Q3 2008 41.81 - - 0.66 -
Q4 2008 36.45 0.52 5.38 1.19 -
Q1 2009 42.57 0.66 0.68 - -
Q1 2010 48.72 0.22 1.09 - -
Q2 2010 43.43 0.63 1.05 - -
Q3 2010 57.54 2.61 (1.29) - -
Q4 2010 54.75 0.31 0.17 222.91 -
Q1 2011 57.26 0.22 0.63 11.51 -
Q2 2011 58.53 - 0.57 - -
Q3 2011 58.37 0.36 0.40 - -
Q4 2011 59.28 - 0.24 17.50 -
Q1 2012 59.99 - 0.60 - -
Q2 2012 59.94 0.01 0.54 - -
Q3 2012 60.76 0.01 0.57 79.99 -
Q4 2012 62.28 0.01 0.58 - -
Q1 2013 62.66 0.01 0.54 - -
Q2 2013 62.21 0.12 0.41 - -
Q3 2013 66.81 0.01 0.30 - -
Q4 2013 65.17 0.14 0.46 - -
Q1 2014 63.23 0.02 0.51 - -
Q2 2014 64.47 0.01 0.40 - -
Q3 2014 67.32 0.28 0.49 - -
Q4 2014 67.06 - 0.56 77.15 -

Current
Market Cap (M Riyal) 7,215.00
Enterprise Value (EV) (M) 9,565.63
Shares Outstanding ((M)) 375.00
EPS ( Riyal) (TTM) 0.16
Book Value (BV) ( Riyal) 12.74
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) More than 100
P/E (TTM) More than 100
Price/book 1.51
Return on Average Assets (%) (TTM) 0.7
Return on Average Equity (%) (TTM) 1.3

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