Zamil Industrial Investment Company Announces Its Annual Financial Results for the Year Ending 31 December 2021

ELEMENT LIST	CURRENT YEAR	PREVIOUS YEAR	% CHANGE
Sales/Revenue	3,523,817	3,382,962	4.2%
Gross Profit (Loss)	475,744	446,361	6.6%
Operational Profit (Loss)	(110,419)	(61,378)	79.9%
Net Profit (Loss) after Zakat and Tax	(159,417)	(159,873)	(0.3%)
Total Comprehensive Income	(166,745)	(145,298)	14.8%
Total Shareholders' Equity (after deducting minority equity)	966,724	1,133,469	-14.7%
Profit (Loss) per Share	(2.66)	(2.66)	–

ELEMENT LIST	EXPLANATION
The reason for the increase (decrease) in net profit during the current year compared to last year is	Net loss for the year is due to: 1) Higher project execution costs due to delays in project schedules resulting from COVID-19. 2) Provision for Expected Credit Loss of SAR 99.2 million was made during 2021 compared to 46.5 million in 2020. 3) Lower Profits from Associated Companies by SAR 22.5 million and lower Other Income by SAR 12.1 million. 4) International operations suffered from the COVID-19 impact, especially in India and Vietnam. 5) Increase in Selling & Distribution expenses by 12 million, from 154 million in 2020 to 166 million in 2021. However, the impact of the above is partly offset by the following: 1) Improved Operating Margins in the Steel and Insulation sectors. 2) Decrease in Financial Charges by SAR 23.5 million. 3) Reduction of losses from Discontinued Operations in the Steel sector in the UAE and the Towers & Galvanizing Division in Saudi Arabia by SAR 36.8 million.
Statement of the type of external auditor's report	Unmodified Conclusion
Reclassification of Comparison Items	Comparative figures have been reclassified to conform with the presentation in the current year.