SASCO announces the impact of adjusting the prices of oil derivatives

01/01/2018 15:49 AST

With reference to the decree issued by the Ministry of Energy, Industry and Mineral Resources dated Monday December 31, 2017 regarding the increment of the fuel prices, the company is pleased to announce to its distinguished shareholders that by studying the financial impact resulting from this increment, it was found that the company's income statement will be affected by the following:

1- Increase in the operating revenues due to increase in selling price of fuel.

2- Increase in the operating expenses due to increase in the price of fuel.

3- Increase in selling and purchasing prices of the fuel as follows:

Selling price of (gasoline 91) increased from 75 halala/litter to 1.37 SAR/litter (Including VAT) while purchasing price increased from 66 halala/litter to 1.28 SAR/litter (Including VAT) causing no change in the gross profit (9 halala/litter).

Selling price of (gasoline 95) increased from 90 halala/litter to 2.04 SAR/litter (Including VAT) while purchasing price increased from 81 halala/litter to 1.95 SAR/litter (Including VAT) causing no change in the gross profit (9 halala/litter).

Selling price of (diesel) increased from 45 halala/litter to 47 halala/litter (Including VAT).

It is worth to mention that the financial impact of this increment will reflect on the company's financial statements starting from the first quarter of 2018, while the actual value of this impact cannot be determined at this moment.

SASCO assures to meet these new changes to be absorbed in the company's financial results in accordance with the directions of the board of directors.

Tadawul