Mawashi announces third quarter financial results; net profits surge by about 50% over first nine months of the year

Net profits surged by around 50% or by QR20.5m, over the same period last year when the company registered QR41.5m.

EPS (Earning Per Share) also increased by 50%, or what is equivalent to QR1.14, to reach QR 3.45 per Share, up from QR2.31 per Share in comparison with the same period last year.

Additionally, Mawashi recorded a significant hike in sales reaching QR236.4m, or what is equivalent to an increase of 29% equaling QR53.6m, over the same period last year where sales were up to QR182.8m.

Mr. Ahmed Nasser Sraiya Al Kaabi, Managing Director and Chief Executive Officer of Mawashi added that the company was able to decrease its administrative expenses by almost 6% to reach QR24.2m down from QR25.5m.

Al Kaabi also said: "We are very pleased with such superb results which strongly underline our team's steadfast commitment to our sustainable and long-term strategy of raising the bar in the industry by embracing global best practices and uncompromising quality across the board. Total expenses have been incurred during the period for our planned expansion of our production capacity and our selling capacity in addition to our investment in market research, hygiene measures and food safety reached QR5m. Our doubtful debt allowance for amounts dating back to 2007 and to our project in Sudan reached QR3.2m."

Al Kaabi added: "Mawashi will continue with its ambitious expansion plans by putting to use its entire capabilities and resources in order to be ready to cater to the growing market needs and demands by the beginning of 2013."

Other income reported in company's income statement include profit resulting from the revaluation of Real state investment reached QR1.8m and other revenues representing the sales revenues of leather, grease and slaughtering charges reached QR9m compared to almost QR6m for the same period of 2011.

Al Kaabi concluded: "With a growth reaching 27%, the cash balance and its equivalent recorded QR151m up to 30 September 2012, representing a 30% of the total current assets (Liquid cash ratio) compared to QR27m in 2011, a 7% of the total current assets."