Riyadh 15 Jan 2013: Saudi fashion retail giant Fawaz A. Alhokair and Co. (SJSC), saw its third quarter net profits ended 31 December 2012 increase to SR 110.49 m, up 44.4 % compared to the same period last year SR 76.49 m. In addition, a decrease of 56.2 % compared to the 2nd quarter SR 252.43 m.
The gross profit for the third quarter ended 31 December 2012 reached SR 263.86 m, an increase of 69.6 % compared to the same period last year SR 155.54 m. Operating income for the third quarter was SR 117.28 m, an increase of 60.8 % compared to the same period last year SR 72.94 m. The cumulative net profit for the nine months ended 31 December 2012 was SR 483.82 m., an increase of 34.4 % compared to the same period last year SR 360.06 m, and contributed to an Earning per Share of SR 6.91 compared to SR 5.14 for the same period last year.
The gross profit during for the nine months ended 31 December 2012 amounted to SR 881.09 m, up38.7 % compared to the same period last year SR 635.05 m, and the operating profits for the same period reached SR 492.35 m., achieving an increase of 30.2 percent compared to the same period last year.
Fawaz A Alhokair & Co. manages some of the best-known brands in the Kingdom, including Zara, Marks & Spencer, Gap, Aldo, The Children’s Place, Lasenza. Earlier this year Alhokair also acquired the Nesk Group for Trading Projects LLC. The acquisition added more than 120 retail shops to Alhokair’s existing network in addition to adding to expanding the brand portfolio’s modern and trendy fashion concepts with such brands as Mango, Stradivarius, Gerry Weber, Okaidi, and Women’s Secret significantly contributing to the expansion of the retail giant’s fashion retail footprint.
Fawaz A. Alhokair and Co. CEO Simon Marshall said: “Our expansion strategy across brand acquisitions and new store introductions has allowed us to keep our offerings to our customers up to date with the latest fashions. We continue to provide an unparalleled shopping experience across our outlets.”
The period also saw the application of the direct cost method by calculating the gross after deducting all stores’ direct costs, as well as expansion in the Armenian market with 25 international brands.
Fawaz A Alhokair & Co retail franchise activities operate over 70 international fashion brands through more than 1,400 fashion stores in 9 countries and employ over 7,000 employees.