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Emaar the Economic City (EMAAR EC) in Saudi Arabia has reported a net loss of SAR 219 million ($58.4 million) in Q3 2022 compared to a loss of SAR 173 million in Q3 2021 and SAR 247 million in Q2 2022.
The company’s financial statements revealed that auditors highlighted its SAR 608 million comprehensive income loss for the first nine months of 2022, saying the company has negative operating cash flows amounting to SAR 182.23 million.
Its current liabilities exceed current assets by SAR 3.785 billion, and accumulated losses reached SAR 4.074 billion as at 30th September 2022, auditors said, adding that these conditions, along with other matters, indicate the existence of material uncertainty that may cast significant doubt about the group’s ability to continue as a going concern, adding that the conclusion is not modified.
Accumulated losses are equivalent to 35.94% of the company’s capital, amounting to SAR 11.333, statements to the Saudi Stock Exchange (Tadawul) added.
The company reported revenue for Q3 of 2022 of SAR 62 million, down from 86 million YoY and 78 million quarter-on-quarter.
The net loss for the first nine months of 2022 was SAR 627 million, compared to SAR 545 million year on year, while revenue was SAR 227 million, down from SAR 258 million YoY.
The company, which is the master planner and developer of King Abdullah Economic City, which is north of Jeddah, said it is pursuing critical initiatives and pipeline deals that are expected to be realised in due course, which are vital for the development of the city and in line with Saudi Arabia’s Vision 2030.
(Writing by Imogen Lillywhite; editing by Seban Scaria)
