Farm Superstores posts 4% profit decline in 9M 2019

10/11/2019 Argaam Exclusive

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Saudi Marketing Co. (Farm Superstores) reported net profit after zakat and tax of 5.7 million in the first nine months of 2019, a drop of 4 percent year-on-year (YoY), due to higher net and non-operating costs after the implementation of IFRS 16.



Financials (M)

Item 9m 2018 9m 2019 Change‬
Revenues 1,158.01 1,173.18 1.3 %
Gross Income 318.50 350.96 10.2 %
Operating Income (2.93) 40.57 1486.1 %
Net Income 5.95 5.71 (3.9 %)
Average Shares 45.00 45.00 -
EPS (Riyals) 0.13 0.13 (3.9 %)

The third quarter net earnings jumped 28.3 percent YoY to SAR 4.5 million, due to lower general and administrative expenses, and improved profit margins.

 

On a quarterly basis, Q3 net profit climbed 20 percent, on a decline in selling, general and administrative expenses, along with a rise in profit margins.



Current Quarter Comparison (M)

Compared With The
Item Q3 2018 Q3 2019 Change‬
Revenues 382.67 381.24 (0.4 %)
Gross Income 111.73 118.84 6.4 %
Operating Income 1.87 17.34 828.4 %
Net Income 3.54 4.54 28.3 %
Average Shares 45.00 45.00 -
EPS (Riyals) 0.08 0.10 28.3 %


Financial results (Million)

Period Revenues Change Gross Income Change Net Income Change EPS(Riyal)
Q1 2010 - - - - - - -
Q2 2010 - - - - - - -
Q3 2010 - - - - - - -
Q4 2010 - - - - - - -
Q1 2011 - - - - - - -
Q2 2011 303.99 - 62.21 - 17.35 - 0.39
Q3 2011 330.91 - 68.92 - 14.92 - 0.33
Q4 2011 350.17 - 50.81 - 19.48 - 0.43
Q1 2012 342.36 - 64.04 - 18.86 - 0.42
Q2 2012 350.01 15.1 % 78.29 25.8 % 18.76 8.1 % 0.42
Q3 2012 384.15 16.1 % 84.23 22.2 % 23.52 57.7 % 0.52
Q4 2012 419.14 19.7 % 72.64 43.0 % 17.63 (9.5 %) 0.39
Q1 2013 391.22 14.3 % 87.02 35.9 % 24.68 30.9 % 0.55
Q2 2013 397.65 13.6 % 89.20 13.9 % 21.38 14.0 % 0.48
Q3 2013 413.71 7.7 % 89.95 6.8 % 22.21 (5.6 %) 0.49
Q4 2013 423.76 1.1 % 87.89 21.0 % 26.87 52.4 % 0.60
Q1 2014 405.04 3.5 % 93.24 7.2 % 27.54 11.6 % 0.61
Q2 2014 475.21 19.5 % 103.31 15.8 % 29.13 36.2 % 0.65
Q3 2014 409.88 (0.9 %) 103.87 15.5 % 24.70 11.2 % 0.55
Q4 2014 450.89 6.4 % 102.85 17.0 % 23.11 (14.0 %) 0.51
Q1 2015 455.49 12.5 % 104.58 12.2 % 29.08 5.6 % 0.65
Q2 2015 513.81 8.1 % 123.00 19.1 % 32.83 12.7 % 0.73
Q3 2015 448.70 9.5 % 120.48 16.0 % 28.95 17.2 % 0.64
Q4 2015 474.32 5.2 % 108.13 5.1 % 16.28 (29.5 %) 0.36
Q1 2016 482.23 5.9 % 112.15 7.2 % 25.45 (12.5 %) 0.57
Q2 2016 524.82 2.1 % 130.10 5.8 % 27.17 (17.2 %) 0.60
Q3 2016 433.06 (3.5 %) 120.16 (0.3 %) 23.19 (19.9 %) 0.52
Q4 2016 490.53 3.4 % 102.79 (4.9 %) 16.84 3.4 % 0.37
Q1 2017 491.47 1.9 % 127.34 13.5 % 22.53 (11.5 %) 0.50
Q2 2017 516.42 (1.6 %) 127.70 (1.8 %) 20.35 (25.1 %) 0.45
Q3 2017 419.50 (3.1 %) 114.68 (4.6 %) 7.21 (68.9 %) 0.16
Q4 2017 178.50 (63.6 %) 72.65 (29.3 %) (43.36) (357.4 %) (0.96)
Q1 2018 374.45 (23.8 %) 113.05 (11.2 %) 13.68 (39.3 %) 0.30
Q2 2018 400.89 (22.4 %) 93.72 (26.6 %) (11.27) (155.4 %) (0.25)
Q3 2018 382.67 (8.8 %) 111.73 (2.6 %) 3.54 (50.9 %) 0.08
Q4 2018 405.90 127.4 % 124.47 71.3 % (2.17) 95.0 % (0.05)
Q1 2019 389.42 4.0 % 116.62 3.1 % (2.60) (119.0 %) (0.06)
Q2 2019 402.51 0.4 % 115.51 23.3 % 3.78 133.5 % 0.08
Q3 2019 381.24 (0.4 %) 118.84 6.4 % 4.54 28.3 % 0.10

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2010 - - -
Q2 2010 - - -
Q3 2010 - - -
Q4 2010 - - -
Q1 2011 - - -
Q2 2011 - - -
Q3 2011 - - -
Q4 2011 - - -
Q1 2012 18.53 % 6.38 % 5.32 %
Q2 2012 19.08 % 6.99 % 5.24 %
Q3 2012 19.44 % 7.31 % 5.65 %
Q4 2012 20.00 % 6.66 % 5.27 %
Q1 2013 20.86 % 6.92 % 5.48 %
Q2 2013 20.92 % 6.91 % 5.48 %
Q3 2013 20.89 % 6.70 % 5.30 %
Q4 2013 21.77 % 7.62 % 5.85 %
Q1 2014 21.97 % 7.70 % 5.98 %
Q2 2014 21.80 % 7.85 % 6.16 %
Q3 2014 22.66 % 8.26 % 6.32 %
Q4 2014 23.16 % 8.27 % 6.00 %
Q1 2015 23.14 % 8.40 % 5.92 %
Q2 2015 23.73 % 8.60 % 6.00 %
Q3 2015 24.13 % 9.07 % 6.29 %
Q4 2015 24.11 % 8.39 % 5.81 %
Q1 2016 24.17 % 8.14 % 5.54 %
Q2 2016 24.40 % 7.86 % 5.21 %
Q3 2016 24.58 % 7.47 % 4.76 %
Q4 2016 24.10 % 7.68 % 4.80 %
Q1 2017 24.76 % 7.56 % 4.63 %
Q2 2017 24.75 % 7.44 % 4.29 %
Q3 2017 24.64 % 6.76 % 3.49 %
Q4 2017 27.55 % 9.61 % 2.98 %
Q1 2018 28.75 % 9.43 % 2.62 %
Q2 2018 28.70 % 7.25 % 0.54 %
Q3 2018 29.27 % 6.81 % 0.28 %
Q4 2018 28.32 % 4.11 % 0.00 %
Q1 2019 28.28 % 5.12 % (1.03 %)
Q2 2019 29.63 % 8.06 % (0.08 %)
Q3 2019 30.11 % 9.99 % (0.02 %)


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2010 - - - -
Q2 2010 - - - -
Q3 2010 - - - -
Q4 2010 - - - -
Q1 2011 - - - -
Q2 2011 45.00 - - 7.10
Q3 2011 45.00 - - 7.60
Q4 2011 45.00 - - 7.73
Q1 2012 45.00 1.57 1.57 8.15
Q2 2012 45.00 1.60 1.60 8.56
Q3 2012 45.00 1.79 1.79 9.09
Q4 2012 45.00 1.75 1.75 9.20
Q1 2013 45.00 1.88 1.88 8.43
Q2 2013 45.00 1.94 1.94 8.90
Q3 2013 45.00 1.91 1.91 9.40
Q4 2013 45.00 2.11 2.11 8.72
Q1 2014 45.00 2.18 2.18 9.33
Q2 2014 45.00 2.35 2.35 9.97
Q3 2014 45.00 2.41 2.41 10.52
Q4 2014 45.00 2.32 2.32 11.04
Q1 2015 45.00 2.36 2.36 11.68
Q2 2015 45.00 2.44 2.44 11.25
Q3 2015 45.00 2.53 2.61 11.89
Q4 2015 45.00 2.38 2.44 12.22
Q1 2016 45.00 2.30 2.36 12.63
Q2 2016 45.00 2.17 2.24 13.24
Q3 2016 45.00 2.05 2.03 13.75
Q4 2016 45.00 2.06 2.06 14.09
Q1 2017 45.00 1.99 1.99 14.59
Q2 2017 45.00 1.84 1.84 14.04
Q3 2017 45.00 1.49 1.49 14.20
Q4 2017 45.00 0.15 1.06 13.19
Q1 2018 45.00 (0.05) 0.87 14.68
Q2 2018 45.00 (0.75) 0.16 13.67
Q3 2018 45.00 (0.83) 0.08 13.74
Q4 2018 45.00 0.08 0.00 12.63
Q1 2019 45.00 (0.28) (0.36) 12.58
Q2 2019 45.00 0.06 (0.03) 12.66
Q3 2019 45.00 0.08 (0.01) 12.76

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2010 - - -
Q2 2010 - - -
Q3 2010 - - -
Q4 2010 - - -
Q1 2011 - - -
Q2 2011 - - -
Q3 2011 - - -
Q4 2011 - - -
Q1 2012 - - -
Q2 2012 - - -
Q3 2012 - - -
Q4 2012 - - -
Q1 2013 - - -
Q2 2013 - - -
Q3 2013 - - -
Q4 2013 - - -
Q1 2014 22.00 22.00 5.14
Q2 2014 27.20 27.20 6.41
Q3 2014 30.58 30.58 6.99
Q4 2014 27.42 27.42 5.77
Q1 2015 24.69 24.69 4.98
Q2 2015 24.25 24.25 5.26
Q3 2015 20.03 19.40 4.27
Q4 2015 20.10 19.60 3.92
Q1 2016 16.72 16.29 3.04
Q2 2016 19.46 18.92 3.20
Q3 2016 10.94 11.05 1.63
Q4 2016 15.51 15.51 2.27
Q1 2017 15.43 15.43 2.11
Q2 2017 15.44 15.44 2.03
Q3 2017 18.19 18.19 1.90
Q4 2017 More than 100 22.04 1.78
Q1 2018 NEG 26.44 1.56
Q2 2018 NEG More than 100 1.59
Q3 2018 NEG More than 100 1.26
Q4 2018 More than 100 NEG 1.29
Q1 2019 NEG NEG 1.43
Q2 2019 More than 100 NEG 1.23
Q3 2019 More than 100 NEG 1.22

Business Segments (Million)

Compared With The
Period Retail sector Home appliances Hospitality and Leisure
Q1 2018 361.66 2.60 10.19
Q2 2018 386.56 3.26 11.07
Q3 2018 369.39 2.56 10.71
Q4 2018 394.22 2.42 9.26
Q1 2019 375.00 5.39 9.03
Q2 2019 387.69 4.86 9.96
Q3 2019 368.52 2.34 10.39

Current
Market Cap (M Riyal) 1,000.80
Enterprise Value (EV) (M) 1,510.57
Shares Outstanding ((M)) 45.00
EPS ( Riyal) (TTM) 0.47
Book Value (BV) ( Riyal) 14.84
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) 43.15
P/E (TTM) 47.22
Price/book 1.50
Return on Average Assets (%) (TTM) 0.9
Return on Average Equity (%) (TTM) 3.2

Share Price

22.24
(0.08) (0.36 %)

Saudi Marketing Co. (FARM SUPERSTORES)


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