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Fawaz Abdulaziz Alhokair Co. is on track for recovery, having overcome the recent challenges when it had to close a majority of its stores, CEO Marwan Moukarzel said, while commenting on the earnings report.
Alhokair’s second-quarter results showed positive signs, which clearly demonstrate the company’s strong comeback to recovery, backed by an over 100% surge in revenues, when compared to the previous quarter.
Alhokair’s solid performance came despite the hike in value-added tax (VAT), the CEO said.
Moukarzel pointed out the company’s successful negotiations for improved rent relief terms with all its landlords. The company also updated its inventory management processes and shrinkage policies to minimize excess stock and ensure optimum levels that reflect fair market value.
The Saudi retailer is planning to roll out its new advanced e-commerce platform next December. Moreover, two new e-commerce platforms are expected to go live this month.
The company is witnessing recovery in the food and beverage business, Moukarzel noted, adding that Alhokair management expects all commercial activities to normalize in the coming months.
The company widened its net loss after Zakat and tax to SAR 98.2 million in Q2 2020/21 from SAR 26.7 million a year earlier, Argaam reported.
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