Al-Jouf Agricultural Development Company (JADCO), announced that the project to establish a potato chip factory has not started, at a high cost of around 192 million riyals.
The company added, in a statement to “Saudi Tadawul” today Thursday that the delay in the project is due to communication with implementers of similar projects in many countries, and is expected to be completed in the third quarter of fiscal year 2023.
He said the cost went from the previously announced 70 million riyals to 192 million riyals due to market needs.
In December 2020, Al-Jouf’s board of directors approved a plan to establish a potato chip factory at a cost of 70 million riyals.
The company said at the time that the start of construction on the project would be in the first quarter of 2021 and expected it would be completed during the first quarter of 2023.
The profits of Al-Jouf Agricultural Company, net of zakat and taxes, decreased by 70.99% in the second quarter of 2021, to record 3.44 million riyals, compared to profits of around 11.87 million riyals in the same quarter of 2020.
Al-Jouf’s agricultural profits decreased by 10.24% in the second quarter of 2021, compared to a net profit of approximately 3.84 million riyals in the first quarter of 2021.
The company stated in a note that the decline in earnings in the second quarter of 2021, year-on-year, is due to a decrease in sales, a decrease in profit margin, as well as an increase in sales and distribution expenses and administrative and general expenses, despite the decrease other expenses and a decrease in Zakat spending.
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