Saudi tourism, retail group Alhokair revenues hit by COVID-19 restrictions

Alhokair Group for Tourism and Development said the precautionary measures adopted by the Saudi government to curb the spread of COVID-19 have “directly affected” the company’s revenues.

Alhokair said in a bourse filing on April 9 that it first closed all its entertainment venues in line with the government’s decision on March 15.

It went on to also temporarily close a number of restaurants and hotels to “reduce expenses and maintain cash flows”, said the company.

“In light of the lack of knowledge of the duration of the precautionary measures, it is difficult for the company to determine the financial impact resulting from these decisions,” said Alhokair.

The company, listed on Tadawul, the Saudi stock exchange, develops and manages a diversified portfolio across sectors including tourism, entertainment, hospitality, wholesale and retail sales, and real estate.

Saudi authorities started implementing precautionary measures to contain the spread of the novel coronavirus in late February when it halted all umrah pilgrims from entering the country. It went on to stop all international commercial flights, temporarily close shopping malls, and most recently on Apr 11 extended indefinitely curfews, from 3pm to 6am, across the country.

The Kingdom reported 382 new cases on Apr 11, taking the total tally to 4,033. 3,261 are diagnosed as “active” while 720 have recovered, according to state news agency SPA. There have been 52 deaths from the COVID-19 in Saudi Arabia as at Apr 11.  

 © SalaamGateway.com 2020 All Rights Reserved