Riyadh – Mubasher: Ataa Educational Company reported a net profit of SAR 37.07 million in the fiscal year ended 31 July, down by 51.1% year-on-year (YoY) from SAR 75.8 million.
The profit drop was ascribed to a 17% YoY decline in revenues to SAR 280 million from SAR 336.3 million as a result of additional discounts due to school closures and the continuation of online learning, while operational costs fell by 7%, the company said in a bourse disclosure on Wednesday.
Meanwhile, other revenue went down by 38% YoY because of the suspension of students’ activities and canteens as a result of school closures.
The board of directors recommended a cash dividend of SAR 1 per share or a total of SAR 40 million, representing 10% of the company's capital for the year ended 31 July.
The board also proposed increasing the company’s capital by 10% through a one-for-10 bonus issue.
During the nine-month period ended 30 April, Ataa Educational Company achieved a net profit of SAR 17.65 million, down from SAR 45.87 million in the same period a year earlier.
