Net profit during the third quarter is SR21.79 million compared to the net profit of SR41.75 million for the same quarter of last year with a decrease of 47.80 percent, and compared to a net profit of SR42.64 million for the previous quarter with a decrease of 48.89 percent.

Gross profit during the third quarter is SR53.69 million compared to SR50.40 million for the same quarter of last year with an increase of 6.52 percent.

Operating profit during the third quarter is SR25.87 million compared to SR38.71 million for the same quarter of last year with a decrease of 33.17 percent.

Net profit during the nine months was SR103.66 million compared to SR 131.16 million for the same period of last year with a decrease of 20.96 percent.

Earnings per share for the nine months are SR2.44 compared to SR3.09 for the same period of previous year.

Gross profit during the nine months was SR172.62 million compared to SR172.63 million for the same period of last year with no changes.

Operating profit during the nine months was SR114.85 million compared to SR132.60 million for the same period of the last year with a decrease of 13.38 percent.

The reason for decrease in net profit in third quarter of 2011 compared to the same period of previous year 2010 and during the nine months of 2011 compared to the same period of the last year 2010 is due to varying margins of the projects that have been recently awarded. Decrease in profits during the third quarter of 2011 related to commercial sector by SR5.83 million; from SR7.95 million to SR2.12 million, and during the nine months of 2011 by SR22.04 million; from SR31.98 million to SR9.94 million due to the decrease in its revenues.

Decrease in Other Income during the third quarter of 2011 by SR7.58 million; from SR7.87 million to SR0.29 million, and during the nine months of 2011 by SR10.36 million; from SR11.91 million to SR1.55 million.

Implementation of newly introduced Nitaqat (Saudization program) meant the sudden increase of Saudization in the contracting sector of related category from 5 percent to 8 percent leading to increase in the company’s payroll without achieving the desired productivity, hence investment in the training and development means the company will absorb these increases before reaping the benefits.

Newly introduced departments to support the company’s projects for quality and cost control in addition to company’s strategy of setting up divisions to carry out disciplines related to the company’s construction activities, which may not be readily available in capacity and/or quality through subcontractors, thus placing the company in a position to meet its commitments in executing its projects to the required quality and specifications and within schedule, with benefits expected to be reaped when in full operation.