OFM H2 net profit gets subsidy boost 

(MENAFN - Muscat Daily) Oman Flour Mills' (OFM) net profit surged 152 per cent in the six-month period ended December 31, 2012 boosted by feed subsidy, the company said in a disclosure to the Muscat Securities Market (MSM).

Net profit jumped to RO2.95mn from RO1.17mn in the year-ago period. The company said the increase in profit is mainly due to the accounting of feed subsidy, which was not done in the same period of the previous year. Total revenue rose 12 per cent to RO33.2mn from RO29.6mn while the cost of sales rose 4.9 per cent to RO27.9mn from RO26.6mn. Last month OFM received the first instalment of feed subsidy from the government. It received RO5.56mn, being 80 per cent of the feed subsidy claim for the period January 2011 to June 2012. ''We have received part payment of the feed subsidy claimed for the period ended June 30, 2012. We believe the balance will be received once the methodology is finalised by the ministry for computation of the subsidy,'' the company said in its chairperson's report.