Kingdom Holding’s net profit up 7% in 9M 2018

04/11/2018 Argaam Exclusive

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Share Price

6.99
(0.03) (0.43 %)

Kingdom Holding Company (KINGDOM)

Kingdom Holding Co. (KHC) reported a net profit of SAR 634.3 million in the first nine months of 2018, a 6.9 percent year-on-year (YoY) increase attributed to higher operating revenue and increased dividend income. The company also cited a drop in operating costs as well as general, administrative and marketing expenses.



Financials (M)

Item 9m 2017 9m 2018 Change‬
Revenues 1,345.49 1,396.18 3.8 %
Gross Income 327.86 397.84 21.3 %
Operating Income (82.14) 32.57 139.7 %
Net Income 592.94 634.26 7.0 %
Average Shares 3,705.88 3,705.88 -
EPS (Riyals) 0.16 0.17 7.0 %

Profit for third quarter was SAR 248.5 million; 0.4 percent higher compared to the net profit of SAR 247.5 million in the year-ago quarter, driven by higher dividend income and lower operating costs. On a sequential quarter basis, profit for the period was 2.4 percent up. 



Current Quarter Comparison (M)

Compared With The
Item Q3 2017 Q3 2018 Change‬
Revenues 512.41 433.24 (15.5 %)
Gross Income 137.94 152.44 10.5 %
Operating Income (107.44) 45.22 142.1 %
Net Income 247.54 248.55 0.4 %
Average Shares 3,705.88 3,705.88 -
EPS (Riyals) 0.07 0.07 0.4 %


Financial results (Million)

Period Revenues Change Gross Income Change Net Income Change EPS(Riyal)
Q1 2009 917.02 (16.2 %) 268.07 (28.0 %) 50.17 (83.5 %) 0.01
Q2 2009 972.06 (22.2 %) 284.54 (37.4 %) 92.06 (82.8 %) 0.02
Q3 2009 1,007.73 (14.4 %) 322.93 (16.5 %) 104.84 (53.7 %) 0.03
Q4 2009 1,134.78 (9.2 %) 368.85 (7.3 %) 155.53 100.5 % 0.04
Q1 2010 994.47 8.4 % 232.34 (13.3 %) 75.21 49.9 % 0.02
Q2 2010 522.70 (46.2 %) 210.74 (25.9 %) 135.44 47.1 % 0.04
Q3 2010 519.15 (48.5 %) 154.08 (52.3 %) 160.01 52.6 % 0.04
Q4 2010 689.99 (39.2 %) 215.94 (41.5 %) 234.59 50.8 % 0.06
Q1 2011 547.15 (45.0 %) 191.47 (17.6 %) 90.64 20.5 % 0.02
Q2 2011 541.82 3.7 % 155.84 (26.1 %) 163.47 20.7 % 0.04
Q3 2011 515.03 (0.8 %) 167.05 8.4 % 197.68 23.5 % 0.05
Q4 2011 525.71 (23.8 %) 134.41 (37.8 %) 187.82 (19.9 %) 0.05
Q1 2012 484.00 (11.5 %) 151.52 (20.9 %) 100.80 11.2 % 0.03
Q2 2012 486.97 (10.1 %) 144.16 (7.5 %) 178.91 9.4 % 0.05
Q3 2012 482.04 (6.4 %) 152.37 (8.8 %) 217.76 10.2 % 0.06
Q4 2012 496.31 (5.6 %) 152.45 13.4 % 209.60 11.6 % 0.06
Q1 2013 496.18 2.5 % 165.41 9.2 % 110.09 9.2 % 0.03
Q2 2013 542.87 11.5 % 190.70 32.3 % 181.20 1.3 % 0.05
Q3 2013 489.54 1.6 % 163.50 7.3 % 219.94 1.0 % 0.06
Q4 2013 480.17 (3.3 %) 167.77 10.1 % 231.24 10.3 % 0.06
Q1 2014 512.95 3.4 % 180.51 9.1 % 126.39 14.8 % 0.03
Q2 2014 586.03 7.9 % 220.34 15.5 % 211.68 16.8 % 0.06
Q3 2014 475.57 (2.9 %) 156.82 (4.1 %) 265.00 20.5 % 0.07
Q4 2014 553.95 15.4 % 171.75 2.4 % 266.00 15.0 % 0.07
Q1 2015 453.29 (11.6 %) 132.44 (26.6 %) 139.38 10.3 % 0.04
Q2 2015 502.82 (14.2 %) 166.81 (24.3 %) 238.30 12.6 % 0.06
Q3 2015 481.76 1.3 % 176.13 12.3 % 291.55 10.0 % 0.08
Q4 2015 441.89 (20.2 %) 150.54 (12.4 %) 37.91 (85.7 %) 0.01
Q1 2016 462.92 2.1 % 96.92 (26.8 %) 114.52 (17.8 %) 0.03
Q2 2016 432.99 (13.9 %) 105.97 (36.5 %) (79.98) (133.6 %) (0.02)
Q3 2016 427.27 (11.3 %) 86.94 (50.6 %) (354.96) (221.7 %) (0.10)
Q4 2016 481.14 8.9 % 88.04 (41.5 %) (29.56) (178.0 %) (0.01)
Q1 2017 387.79 (16.2 %) 80.67 (16.8 %) 129.09 12.7 % 0.03
Q2 2017 445.29 2.8 % 109.25 3.1 % 216.30 370.5 % 0.06
Q3 2017 512.41 19.9 % 137.94 58.7 % 247.54 169.7 % 0.07
Q4 2017 385.00 (20.0 %) 120.39 36.7 % 70.63 338.9 % 0.02
Q1 2018 475.50 22.6 % 124.22 54.0 % 143.04 10.8 % 0.04
Q2 2018 487.44 9.5 % 121.18 10.9 % 242.67 12.2 % 0.07
Q3 2018 433.24 (15.5 %) 152.44 10.5 % 248.55 0.4 % 0.07

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2009 32.81 % 14.44 % (389.88 %)
Q2 2009 30.98 % 15.09 % (425.17 %)
Q3 2009 30.71 % 16.53 % (445.46 %)
Q4 2009 30.87 % 16.74 % 9.99 %
Q1 2010 29.41 % 14.56 % 10.41 %
Q2 2010 31.01 % 14.90 % 12.87 %
Q3 2010 30.46 % 12.29 % 16.59 %
Q4 2010 29.82 % 13.16 % 22.20 %
Q1 2011 33.89 % 15.57 % 27.23 %
Q2 2011 31.21 % 12.65 % 28.23 %
Q3 2011 31.84 % 12.80 % 29.92 %
Q4 2011 30.46 % 10.22 % 30.03 %
Q1 2012 29.46 % 10.26 % 31.44 %
Q2 2012 29.68 % 10.65 % 33.07 %
Q3 2012 29.44 % 10.80 % 34.63 %
Q4 2012 30.81 % 12.26 % 36.27 %
Q1 2013 31.32 % 11.75 % 36.52 %
Q2 2013 32.76 % 11.99 % 35.62 %
Q3 2013 33.19 % 13.36 % 35.60 %
Q4 2013 34.22 % 11.57 % 36.96 %
Q1 2014 34.68 % 12.76 % 37.46 %
Q2 2014 35.39 % 13.99 % 38.15 %
Q3 2014 35.31 % 13.80 % 40.60 %
Q4 2014 34.27 % 15.41 % 40.83 %
Q1 2015 32.93 % 13.70 % 42.64 %
Q2 2015 31.62 % 12.55 % 45.76 %
Q3 2015 32.49 % 12.25 % 46.95 %
Q4 2015 33.30 % 11.72 % 57.30 %
Q1 2016 31.25 % 14.08 % 55.69 %
Q2 2016 29.10 % 13.44 % 40.34 %
Q3 2016 24.95 % 13.80 % 18.20 %
Q4 2016 20.94 % 14.93 % (6.44 %)
Q1 2017 20.91 % 15.20 % (19.46 %)
Q2 2017 20.95 % 17.89 % (14.00 %)
Q3 2017 22.77 % 10.40 % (22.17 %)
Q4 2017 25.90 % 5.55 % (17.61 %)
Q1 2018 27.05 % 8.13 % 0.43 %
Q2 2018 27.08 % 0.43 % 32.97 %
Q3 2018 29.09 % 9.86 % 53.22 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2009 3,705.88 (8.14) (4.83) 5.18
Q2 2009 3,705.88 (8.26) (4.95) 5.52
Q3 2009 3,705.88 (8.29) (4.98) 6.01
Q4 2009 3,705.88 0.11 0.11 6.63
Q1 2010 3,705.88 0.12 0.12 6.97
Q2 2010 3,705.88 0.13 0.13 6.65
Q3 2010 3,705.88 0.14 0.14 6.88
Q4 2010 3,705.88 0.16 0.16 7.31
Q1 2011 3,705.88 0.17 0.17 7.26
Q2 2011 3,705.88 0.18 0.18 7.26
Q3 2011 3,705.88 0.19 0.19 6.62
Q4 2011 3,705.88 0.17 0.17 6.87
Q1 2012 3,705.88 0.18 0.18 7.19
Q2 2012 3,705.88 0.18 0.18 6.98
Q3 2012 3,705.88 0.18 0.18 7.32
Q4 2012 3,705.88 0.19 0.19 7.61
Q1 2013 3,705.88 0.19 0.19 7.88
Q2 2013 3,705.88 0.19 0.19 8.05
Q3 2013 3,705.88 0.19 0.19 8.28
Q4 2013 3,705.88 0.20 0.20 8.53
Q1 2014 3,705.88 0.20 0.20 8.08
Q2 2014 3,705.88 0.21 0.21 8.55
Q3 2014 3,705.88 0.23 0.23 8.71
Q4 2014 3,705.88 0.23 0.23 8.70
Q1 2015 3,705.88 0.24 0.24 8.32
Q2 2015 3,705.88 0.25 0.25 8.40
Q3 2015 3,705.88 0.25 0.25 7.76
Q4 2015 3,705.88 0.19 0.29 7.72
Q1 2016 3,705.88 0.18 0.28 7.15
Q2 2016 3,705.88 0.10 0.20 7.15
Q3 2016 3,705.88 (0.08) 0.09 7.32
Q4 2016 3,705.88 (0.09) (0.03) 7.62
Q1 2017 3,705.88 (0.09) (0.09) 7.73
Q2 2017 3,705.88 (0.01) (0.07) 8.00
Q3 2017 3,705.88 0.15 (0.11) 8.30
Q4 2017 3,705.88 0.18 (0.08) 8.51
Q1 2018 3,705.88 0.18 0.00 8.29
Q2 2018 3,705.88 0.19 0.17 8.37
Q3 2018 3,705.88 0.19 0.26 8.32

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2009 NEG NEG 1.16
Q2 2009 NEG NEG 1.39
Q3 2009 NEG NEG 1.22
Q4 2009 More than 50 More than 50 1.12
Q1 2010 More than 50 More than 50 1.34
Q2 2010 More than 50 More than 50 1.22
Q3 2010 More than 50 More than 50 1.16
Q4 2010 More than 50 More than 50 1.12
Q1 2011 More than 50 More than 50 1.25
Q2 2011 45.70 45.70 1.10
Q3 2011 40.49 40.49 1.13
Q4 2011 More than 50 More than 50 1.29
Q1 2012 More than 50 More than 50 1.73
Q2 2012 More than 50 More than 50 1.73
Q3 2012 More than 50 More than 50 1.97
Q4 2012 More than 50 More than 50 2.75
Q1 2013 More than 50 More than 50 2.13
Q2 2013 More than 50 More than 50 2.28
Q3 2013 More than 50 More than 50 2.30
Q4 2013 More than 50 More than 50 2.87
Q1 2014 More than 50 More than 50 2.78
Q2 2014 More than 50 More than 50 2.82
Q3 2014 More than 50 More than 50 2.74
Q4 2014 More than 50 More than 50 2.08
Q1 2015 More than 50 More than 50 2.44
Q2 2015 More than 50 More than 50 2.61
Q3 2015 More than 50 More than 50 2.32
Q4 2015 More than 50 More than 50 2.05
Q1 2016 More than 50 42.08 1.67
Q2 2016 More than 50 More than 50 1.55
Q3 2016 NEG More than 50 1.40
Q4 2016 NEG NEG 1.58
Q1 2017 NEG NEG 1.39
Q2 2017 NEG NEG 1.23
Q3 2017 More than 50 NEG 1.27
Q4 2017 49.93 NEG 1.05
Q1 2018 49.34 More than 50 1.09
Q2 2018 45.86 More than 50 1.04
Q3 2018 45.21 33.62 1.03

Business Segments (Million)

Compared With The
Period Intellectual Property Investments Hotels Real Estate Other segments Health Care Sector
Q1 2009 202.20 728.15 192.77 - -
Q2 2009 8.19 828.61 180.86 - -
Q3 2009 94.00 899.93 103.35 - -
Q4 2009 150.92 1,019.89 112.42 - -
Q1 2010 (32.45) 744.18 532.68 - -
Q2 2010 41.31 330.19 315.14 - -
Q3 2010 29.93 383.95 412.04 - -
Q4 2010 7.23 719.69 259.14 - -
Q1 2011 44.64 372.31 397.86 - -
Q2 2011 109.52 406.07 302.92 - -
Q3 2011 431.33 515.72 (113.89) - -
Q4 2011 (576.77) 485.75 826.83 - -
Q1 2012 165.79 302.46 592.00 - -
Q2 2012 30.75 394.87 232.61 - -
Q3 2012 132.65 406.97 293.14 - -
Q4 2012 95.47 399.53 431.09 - -
Q1 2013 200.23 323.73 141.21 - -
Q2 2013 181.82 464.51 151.02 - -
Q3 2013 297.94 362.03 126.36 - -
Q4 2013 167.67 369.87 346.41 - -
Q1 2014 295.66 291.02 154.43 - -
Q2 2014 279.22 436.26 181.46 - -
Q3 2014 169.73 499.83 143.34 - -
Q4 2014 298.68 475.93 172.32 - -
Q1 2015 242.57 252.61 219.81 - -
Q2 2015 235.31 395.99 199.26 - -
Q3 2015 362.25 379.66 123.24 - -
Q4 2015 498.17 286.48 296.75 - -
Q1 2016 173.06 316.21 - 39.04 112.17
Q2 2016 35.28 295.41 - 29.28 103.81
Q3 2016 - 358.23 - 31.56 37.47
Q4 2016 (481.32) 365.49 - 22.76 94.56
Q1 2017 274.13 279.17 - 25.24 83.38
Q2 2017 94.89 324.40 16.31 24.39 80.19
Q3 2017 37.97 326.63 88.72 22.14 74.93
Q4 2017 218.51 144.28 130.79 22.80 87.14
Q1 2018 37.55 255.51 119.19 23.60 77.20
Q2 2018 344.50 279.09 113.05 24.42 70.89
Q3 2018 48.36 239.32 98.14 24.33 71.45

Current
Market Cap (M Riyal) 25,904.12
Enterprise Value (EV) (M) 40,169.85
Shares Outstanding ((M)) 3,705.88
EPS ( Riyal) (TTM) 0.28
Book Value (BV) ( Riyal) 10.00
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) 33.05
P/E (TTM) 24.95
Price/book 0.70
Return on Average Assets (%) (TTM) 1.9
Return on Average Equity (%) (TTM) 3.0

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