DEFICIT 13 2.1.12 RISKS RELATED TO THE INCREASE IN THE COMPANY’S CURRENT LIABILITIES AGAINST ITS
G. Non-controlling interest
6.7.8 Results of Operations for Aventus Global Trading Company (Subsidiary Company)
6.7.8 Results of Operations for Aventus Global Trading Company (Subsidiary
Aventus Global Trading Company recorded an increase in net loss for the year by 84.7% from losses of SAR 3.8 million in 2020G to losses of SAR 7.0 million in 2021G. The increase in net loss was affected by the decrease in revenues for the year.
Then, the net losses for the year decreased by 16.1% from losses of 7.0 million Saudi Riyals in 2021G to losses of 5.9 million Saudi Riyals in 2022G, and this was due to the increase revenues of the year.
6.7.8.2 Statement of Financial Position
The following table shows the statement of Aventus Global Trading Company’s financial position for the financial years ending on March 31, 2020G, 2021G and 2022G.
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Table No. ( Statement of Financial Position
Thousand Saudi Riyals
Financial year ended 31 March Increase / (Decrease) 2020- 2022G 2020G CAGR
Restated 2021G
Restated 2022G
Restated 31 March
2021G 31 March 2022G Assets
Non-Current Assets
Right to use assets, net 5.910 6.627 6.033 12.1% (9.0%) 1.0%
Property and Equipment, Net 3.756 4.936 4.343 31.4% (12.0%) 7.5%
Total Non-Current Assets 9.665 11.563 10.376 19.6% (10.3%) 3.6%
Current Assets
Stock, Net 2.247 1.375 1.461 (38.8%) 6.3% (19.4%)
Trade payables and other payables, net 2.528 1.865 1.423 (26.2%) (23.7%) (25.0%)
Cash and Cash Equivalents 1.542 1.769 3.484 14.8% 96.9% 50.3%
Total Current Assets 6.317 5.009 6.368 (20.7%) 27.1% 0.4%
Total Assets 15.982 16.572 16.744 3.7% 1.0% 2.4%
Equity and Liabilities Equity and Liabilities
Capital 616 616 616 - - -
Statutory Reserve 308 308 308 - - -
Reserve for Measurement of Employees Benefit Liability 139 98 (17) (29.0%) (117.7%) N/A
Accumulated Losses (3.213) (10.252) (16.156) 219.1% 57.6% 124.3%
Total Equity (2.149) (9.229) (15.249) 329.4% 65.2% 166.4%
Non-current Liabilities
Long term lease liabilities 1.403 2.449 3.135 74.5% 28.0% 49.5%
Long-term loans 390 143 38 (63.4%) (73.0%) (68.6%)
employee benefits liability 628 662 876 5.4% 32.5% 18.1%
Total non-current liabilities 2.421 3.253 4.050 34.4% 24.5% 29.3%
Current Liabilities
Trade creditors and other credit balances 12.145 17.339 22.377 42.8% 29.1% 35.7%
Current portion of long-term lease liabilities 3.378 5.006 5.410 48.2% 8.1% 26.6%
Current portion of long-term lease liabilities 188 203 156 7.9% (23.0%) (8.8%)
Total Current Liabilities 15.711 22.548 27.942 43.5% 23.9% 33.4%
Total Liabilities 18.131 25.801 31.993 42.3% 24.0% 32.8%
Total Liabilities & Equity 15.982 16.572 16.744 3.7% 1.0% 2.4%
Source: Management Information.
Assets
Non-Current Assets:
Non-current assets consist mainly of right of using assets, property and equipment. Non-current Assets increased by 19.6%
or amounting to 1.9 million Saudi Riyals from 9.7 million Saudi Riyals as on March 31, 2020G to 11.6 million Saudi Riyals as on March 31, 2021G as a result of an increasing value of the property and Equipment from 3.8 million Saudi Riyals as on March 31, 2020G to 4.9 million Saudi Riyals as on March 31, 2021G. Then, the non-current assets decreased by 10.3%, or by a value of 1.2 million Saudi Riyals, from 11.6 million Saudi Riyals as on March 31, 2021G to 10.4 million Saudi Riyals as on March 31, 2022G, as a result of the decrease in the right to use assets, property and equipment.
Current Assets:
Current assets consist of inventory, trade and other receivables, cash and cash equivalents. Current assets decreased by 20.7% or by 1.3 million Saudi Riyals from 6.3 million Saudi Riyals as on March 31, 2020G to 5.0 million Saudi Riyals as on March 31, 2021G mainly due to an decrease in stock from 2.2 million Saudi Riyals as on March 31, 2020G to 1.4 million Saudi Riyals as on March 31, 2021G. Current assets increased by 27.1% or by 1.4 million Saudi Riyals from 5.0 million Saudi Riyals as on March 31, 2021G to 6.4 million Saudi Riyals as on March 31, 2022G mainly due to an increase in cash and cash equivalents from 1.8 million Saudi Riyals as on March 31, 2021G to 3.5 million Saudi Riyals as on March 31, 2022G.
Equity:
Aventus Global Trading Company recorded an increase in the negative balance of equity by 329.4% or by a value of 7.1 million Saudi Riyals from 2.1 million Saudi Riyals as on March 31, 2020G to 9.2 million Saudi Riyals as on March 31, 2021G.
These losses were related to an increase in accumulated losses from 3.2 million Saudi Riyals in the year 2020G to 10.3 million Saudi Riyals in 2021G. This negative balance continued to increase by 65.2%, or by an amount of SAR 6.0 million, from SAR 9.2 million as on March 31, 2021G to SAR 15.2 million as on March 31, 2022G, mainly due to the increase in accumulated losses from SAR 10.2 million in 2021G to 16.2 million Million Saudi Riyals in 2022G.
Liabilities:
Non-current Liabilities
Non-current liabilities consist of long-term lease liabilities, employee benefit liabilities and long-term loans. Non-current liabilities increased by 34.4% or amounting to 0.8 million Saudi Riyals from 2.4 million Saudi Riyals as on March 31, 2020G to 3.2 million Saudi Riyals as on March 31, 2021G as a result of an increase in the long-term lease liabilities from 1.4 million Saudi Riyals as on March 31, 2020G to 2.4 million Saudi Riyals as on March 31, 2021G. It continued to increase by 24.5% or by an amount of 0.9 million Saudi Riyals from 3.2 million Saudi Riyals as on March 31, 2021G to 4.1 million Saudi Riyals as on March 31, 2022G as a result of the increase in long-term lease liabilities from 2.4 million Saudi Riyals as on March 31, 2021G to 3.1 million One million Saudi Riyals as on March 31, 2022G.
Current Liabilities:
Current liabilities consist of trade and other payables, the current portion of long-term lease liabilities and the current portion of long-term loans. Current liabilities increased by 43.5% or by a value of 6.8 million Saudi Riyals from 15.7 million Saudi Riyals as on March 31, 2020G to 22.5 million Saudi Riyals as on March 31, 2021G due to an increase in trade and other credit balances from 12.1 million Saudi Riyals as on March 31, 2020G to 17.3 million Saudi Riyals as on March 31, 2021G. It continued to increase by 23.9% or by an amount of 5.4 million Saudi Riyals from 22.5 million Saudi Riyals as on March 31, 2021G to 27.9 million Saudi Riyals as on March 31, 2022G as a result of an increase in trade and other credit balances from 17.3 million Saudi Riyals as on March 31, 2021G To 22.4 million Saudi Riyals as on March 31, 2022G.