Trafco Group BscBAHRAIN: TRAFCO

2025 Financial Statements – 2nd Quarter (English)

Aug 10, 2025 at 1:07 PM UTC · Issued by Trafco Group Bsc

Trafco Group B.S.C.

INTERIM CONDENSED CONSOLIDATED

FINANCIAL STATEMENTS

30 JUNE 2025 (REVIEWED) REPORT ON THE REVIEW OF THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS TO THE BOARD OF DIRECTORS OF TRAFCO GROUP B.S.C.

Introduction

We have reviewed the accompanying interim condensed consolidated financial statements of Trafco Group B.S.C. ("the Company") and its subsidiaries (together "the Group") as at 30 June 2025, comprising of interim consolidated statement of financial position as at 30 June 2025 and the related interim consolidated statement of profit or loss and other comprehensive income for the three and six-month periods then ended and the related interim consolidated statements of cash flows and changes in equity for the six-month period then ended and explanatory notes. The Group's Board of Directors is responsible for the preparation and presentation of these interim condensed consolidated financial statements in accordance with International Accounting Standard 34 ('IAS 34') "Interim Financial Reporting ". Our responsibility is to express a conclusion on these interim condensed consolidated financial statements based on our review.

Scope of review

We conducted our review in accordance with the International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity". A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim condensed consolidated financial statements are not prepared, in all material respects, in accordance with IAS 34.

Partner's Registration No. 212

10 August 2025

Manama, Kingdom of Bahrain

Trafco Group B.S.C.

INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS

For the period ended 30 June 2025 (Reviewed)

Six-month period ended
30 June
2025	2024
BD	BD

OPERATING ACTIVITIES

Profit of the Group for the period

Adjustments for:

Investment income

Depreciation on property, plant and equipment

Depreciation on right-of-use assets

Other finance costs

Finance costs on lease liabilities

Provision for employees' end of service benefits

Provision for slow moving and obsolete of inventories

Allowance for expected credit losses

Amortization of Government grant

(1,095,090) (1,056
535,558 487
216,247 211
246,152 202
100,031 102
141,557 123
6,035 55
68,314 120
(3,340)

Operating profit before changes in working capital

Working capital changes:

Inventories

Right of return assets

Trade and other receivables

Trade and other payables

Retention payable

Contract and refund liabilities

Net cash generated from operations

Directors' remuneration paid

Employees' end of service benefits paid

Net cash flows generated from operating activities

INVESTING ACTIVITIES

Additions to property, plant and equipment

Proceeds from disposals of investment at fair value

through other comprehensive income

Additions to investment at fair value through other comprehensive income

Dividends and interest received

Net cash flows generated from (used in) investing activities

FINANCING ACTIVITIES

Dividends paid

Term loans availed

Repayment of term loan

Import loans availed

Repayment of import loan

Finance costs paid on loans

Payment of principal portion of lease liabilities

Finance costs paid on lease liabilities

39,556	358,011
-	(178,088)
786,308	1,056,211
316,412	(432,096)

(1,335,413) (1,261
660,000 1,000
(737,465) (462
4,432,564 6,014
(4,607,466) (5,406
(227,091) (177
(258,628) (245
(100,031) (102

1,134,176	1,952,965
	,211)
	,931
	,331
	,952
	,605
	,042
	,569
	,161
	-
1,349,640		2,200,345
2,516,244		(236,205)
(523)		(202)
(312,756)		(1,631,189)
(817,141)		46,305
2,400		117,190
16,817		110,545
2,754,681		606,789
(119,925)		(119,925)
(175,622)		(91,600)
2,459,134		395,264
(509,452)		(1,668,230)

,223)

,000

,292)

,898

,222)

,953)

,415)

,605)

Net cash flows used in financing activities

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

Foreign currency translation adjustments - net

Cash and cash equivalents at 1 January

(2,173,530)	(640,812)
602,016	(677,644)
2,272	(10,470)
610,861	5,038,110

CASH AND CASH EQUIVALENTS AT 30 JUNE (A) 1,215,149 4,349,996

Trafco Group B.S.C.

INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS (continued)

For the period ended 30 June 2025 (Reviewed)

(A)	Cash and cash equivalents comprise of following amounts:

Six-month period ended
30 June
2025	2024
BD	BD

Cash, bank balances and short-term deposits

Less: Bank overdrafts

4,513,832

(163,836)

2,020,458 (805,309) 1,215,149 4,349,996

Trafco Group B.S.C.

INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the period ended 30 June 2025 (Reviewed)

Attributable to shareholders of Trafco Group B.S.C.
Reserves
						Foreign	Retained	Retained			Total
Share	Treasury	Share	Statutory	General	Fair value	currency	earnings -	earnings non-	Proposed	Total	Trafco's
capital	shares	premium	reserve	reserve	reserves	reserves	distributable	distributable	appropriations	reserves	shareholders
BD	BD	BD	BD	BD	BD	BD	BD	BD	BD	BD	BD

Non-

controlling

interests

Total

equity

Balance at 1 January 2025	8,067,505
Profit for the period	-
Other comprehensive income for the period	-

(1,706,644)

3,386,502

4,033,753

1,665,000

6,815,322

238,716

(47,083)

1,158

5,142,474

891,122

496,736

1,385,413

19,491,615

891,122

239,874

29,238,978

891,122

239,874

5,777,254

243,054

11,398

35,016,232

1,134,176

251,272

1,385,448

(1,335,413)

Total comprehensive income for the period	-
Dividend paid (note 10)	-
Transfer to general reserve	-
Gain on disposal of investment at fair value
through other comprehensive income	-

50,000

238,716

1,158

891,122

1,130,996

(1,335,413)

1,130,996

(1,335,413)

254,452

-(1,335,413)

(50,000)

- - - - (1,543) - 1,543 - - - - -

Balance at 30 June 2025

8,067,505

(1,706,644) 3,386,502 4,033,753 1,715,000 7,052,495 (45,925) 6,035,139 496,736 - 19,287,198 29,034,561 6,031,706 35,066,267

Attributable to shareholders of Trafco Group B.S.C.
Reserves
						Foreign	Retained	Retained			Total
Share	Treasury	Share	Statutory	General	Fair value	currency	earnings -	earnings non-	Proposed	Total	Trafco's
capital	shares	premium	reserve	reserve	reserves	reserves	distributable	distributable	appropriations	reserves	shareholders
BD	BD	BD	BD	BD	BD	BD	BD	BD	BD	BD	BD

Non-

controlling

interests

Total

equity

1,311,223

20,488,607

1,561,016

18,488

Balance at 1 January 2024	8,067,505
Profit for the period	-
Other comprehensive income (loss) for the period	-
Total comprehensive income (loss) for the period	-
Dividend paid (note 10)	-
Transfer to general reserve	-
Gain on disposal of investment at fair value
through other comprehensive income	-

(1,706,644)

3,386,502

4,033,753

1,615,000

50,000

8,483,180

23,828

(49,259)

(5,340)

4,597,974

1,561,016

496,736

30,235,970

1,561,016

18,488

1,579,504

(1,261,223)

5,403,645

391,949

(6,826)

385,123

35,639,615

1,952,965

11,662

1,964,627

(1,261,223)

1,579,504

(1,261,223)

(102,580)

102,580

(50,000)

(1,706,644)

3,386,502

4,033,753

1,665,000

8,404,428

(54,599)

6,261,570

496,736

20,806,888

30,554,251

5,788,768

36,343,019

-(1,261,223)

Balance at 30 June 2024

8,067,505

The attached notes 1 to 13 form part of these interim condensed consolidated financial statements.

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

1	CORPORATE INFORMATION

Trafco Group B.S.C. ('the Company' or 'Trafco') is a public joint stock company, the shares of which are listed and publicly traded on Bahrain Bourse. The Company was incorporated in the Kingdom of Bahrain by Amiri Decree No. 10 of November 1977. The Company operates in accordance with the provisions of the Bahrain Commercial Companies Law under commercial registration (CR) number 8500 issued by the Ministry of Industry and Commerce on 9 April 1978. The Company's registered office is situated at Building 117, Road 42, Block 343, Mina Salman Industrial Area, Kingdom of Bahrain. The Company's principal activity is trading in food products.

The Group comprises of the Company and its subsidiaries. The details of Company's subsidiaries and an associate are disclosed in the Group's annual consolidated financial statements for the year ended 31 December 2024.

The interim condensed consolidated financial statements were authorised for issue by the Board of Directors on 10 August 2025.

2	MATERIAL ACCOUNTING POLICIES

Basis of preparation

The interim condensed consolidated financial statements for the six-month period ended 30 June 2025 have

been prepared in accordance with International Accounting Standard (IAS 34) "Interim Financial Reporting".

The interim condensed consolidated financial statements do not contain all information and disclosures required for full consolidated financial statements prepared in accordance with International Financial Reporting Standards, and should be read in conjunction with the Group's annual consolidated financial statements for the year ended 31 December 2024.The Group has prepared the interim condensed consolidated financial statements on the basis that it will continue to operate as a going concern. In addition, results for the six-month period ended 30 June 2025 are not necessarily indicative of the results that may be expected for the financial year ending 31 December 2025.

New standards, interpretations and amendments adopted by the Group

The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the Group's annual consolidated financial statements for the year ended 31 December 2024, except for the new and amended standards effective as of 1 January 2025. The Group has not early adopted any other standard, interpretation or amendment that has been issued

but is not yet effective.

The following amendment applies for the first time in 2025, but do not have an impact on the interim condensed consolidated financial statements of the Group.

Amendments to IAS 21 - Lack of exchangeability: In August 2023, the IASB issued these amendments to IAS 21 to specify how an entity should assess whether a currency is exchangeable and how it should determine a spot exchange rate when exchangeability is lacking. The amendments also require disclosure of information that enables users of its financial statements to understand how the currency not being exchangeable into the other currency affects, or is expected to affect, the

entity's financial performance, financial position and cash flows.

3	SIGNIFICANT ACCOUNTING JUDGEMENTS AND ESTIMATES

The significant accounting judgements and estimates used in the preparation of the interim condensed consolidated financial statements are consistent with those used in the preparation of the Group's annual consolidated financial statements for the year ended 31 December 2024.

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

4	REVENUE FROM CONTRACTS WITH CUSTOMERS

The following table presents the disaggregation of the Group's revenue for the three-month period ended 30 June 2025 and 30 June 2024:

Dairy products and Fruits and Storage and

Wholesale operations beverages vegetables logistics Livestock Total
2025	2024 2025 2024 2025 2024 2025 2024 2025 2024 2025 2024
BD	BD BD BD BD BD BD BD BD BD BD BD

Types of revenue

Sale of goods

Rendering of services

3,589,030 4,176,302 5,932,346 6,029,798 356,173 362,638 - - 1,341,691 1,230,123 11,219,240 11,798,861

- - - - - - 166,942 144,652 - - 166,942 144,652

3,589,030 4,176,302 5,932,346 6,029,798 356,173 362,638 166,942 144,652 1,341,691 1,230,123 11,386,182 11,943,513

Geographic markets

Bahrain

Kuwait and Saudi Arabia

3,589,030 4,176,302 4,476,757 4,558,965 356,173 362,638 166,942 144,652 1,341,691 1,230,123 9,930,593 10,472,680

- - 1,455,589 1,470,833 - - - - - - 1,455,589 1,470,833

3,589,030 4,176,302 5,932,346 6,029,798 356,173 362,638 166,942 144,652 1,341,691 1,230,123 11,386,182 11,943,513

Timing of revenue recognition

At a point in time

Over the time

3,589,030 4,176,302 5,932,346 6,029,798 356,173 362,638 - - 1,341,691 1,230,123 11,219,240 11,798,861

- - - - - - 166,942 144,652 - - 166,942 144,652

3,589,030 4,176,302 5,932,346 6,029,798 356,173 362,638 166,942 144,652 1,341,691 1,230,123 11,386,182 11,943,513

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

4	REVENUE FROM CONTRACTS WITH CUSTOMERS (continued)

The following table presents the disaggregation of the Group's revenue for the six-month periods ended 30 June 2025 and 30 June 2024:

Dairy products and Fruits and Storage and

Wholesale operations beverages vegetables logistics Livestock Total
2025	2024 2025 2024 2025 2024 2025 2024 2025 2024 2025 2024
BD	BD BD BD BD BD BD BD BD BD BD BD

Types of revenue

Sale of goods

Rendering of services

7,373,964 8,340,894 11,360,094 12,227,161 692,265 939,713 - - 2,490,749 2,651,520 21,917,072 24,159,288

- - - - - - 328,158 293,302 - - 328,158 293,302

7,373,964 8,340,894 11,360,094 12,227,161 692,265 939,713 328,158 293,302 2,490,749 2,651,520 22,245,230 24,452,590

Geographic markets

Bahrain

Kuwait and Saudi Arabia

7,373,964 8,340,894 8,708,829 9,348,482 692,265 939,713 328,158 293,302 2,490,749 2,651,520 19,593,965 21,573,911

- - 2,651,265 2,878,679 - - - - - - 2,651,265 2,878,679

7,373,964 8,340,894 11,360,094 12,227,161 692,265 939,713 328,158 293,302 2,490,749 2,651,520 22,245,230 24,452,590

Timing of revenue recognition

At a point in time

Over the time

7,373,964 8,340,894 11,360,094 12,227,161 692,265 939,713 - - 2,490,749 2,651,520 21,917,072 24,159,288

- - - - - - 328,158 293,302 - - 328,158 293,302

7,373,964 8,340,894 11,360,094 12,227,161 692,265 939,713 328,158 293,302 2,490,749 2,651,520 22,245,230 24,452,590

Trafco Group B.S.C.
NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
At 30 June 2025 (Reviewed)
5	SEASONALITY OF RESULTS

Investment income for the six-month period ended 30 June 2025 amounting to BD 1,095,090 (2024: BD 1,056,211) is of a seasonal nature.

6	EARNINGS PER SHARE

Basic earnings per share is calculated by dividing the profit for the period attributable to shareholders of Trafco Group B.S.C. by the weighted average number of ordinary shares outstanding during the period, excluding the average number of ordinary shares purchased by the Company and held as treasury shares, as follows:

Three-month	period	ended	Six-month period	ended
30 June (Reviewed) 30 June (Reviewed)
2025		2024	2025	2024

Profit for the period attributable to

shareholders of TRAFCO Group BSC - (BD)

Weighted average number of shares,

net of treasury shares

309,267 602,940 891,122 1,561,016 74,197,575 74,197,575 74,197,575 74,197,575

Basic and diluted earnings per share (fils) 4 8 12 21

Basic and diluted earnings per share are the same as the Company has not issued any instruments that would have a dilutive effect.

7	BOOK VALUE AND FAIR VALUE PER SHARE

Book value per share is calculated by dividing the equity as at period end attributable to shareholders of Trafco Group B.S.C. by the weighted average number of ordinary shares outstanding during the period, excluding the average number of ordinary shares purchased by the Company and held as treasury shares, as follows:

30 June

2025

(Reviewed)

31 December

2024

(Audited)

Equity as at period / year end attributable to

shareholders of TRAFCO - (BD)

29,034,561 29,238,978

Weighted average number of shares,

net of treasury shares

74,197,575 74,197,575

Book value per share (fils) 391 394

Market value per share (fils)* 265 310

* Market value per share is derived from Bahrain Bourse

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

8	FINANCIAL INSTRUMENTS

14,570,473		14,430,941 29,001,414
		Fair value
		through other
Amortised		comprehensive
cost		income Total
BD		BD BD

-	14,430,941	14,430,941
12,550,015	-	12,550,015
2,020,458	-	2,020,458

Set out below is an overview of the financial instruments held by the Group as at 30 June 2025 and 31 December 2024:

Financial assets

At 30 June 2025 (Reviewed)

Investments at fair value through other comprehensive income

Trade and other receivables

Cash, bank balances and short-term deposits

Amortised

cost

Fair value

through other

comprehensive

income

Total

Financial assets

At 31 December 2024 (Audited)

Investments at fair value through other comprehensive income

Trade and other receivables

Cash, bank balances and short-term deposits

-	14,221,497 14,221,497
11,996,791	- 11,996,791
1,764,512	- 1,764,512

13,761,303 14,221,497 27,982,800

30 June

2025

(Reviewed)

31 December

2024

(Audited)

Financial liabilities at amortised cost

Trade and other payables

Import loans

Lease liabilities

Bank overdrafts

Term loans

6,398,846	7,316,851
2,721,970	2,896,872
3,421,900	3,672,366
805,309	1,153,651
3,149,737	3,227,202

16,497,762 18,266,942

9	FAIR VALUE MEASUREMENT

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Fair value of financial instruments

The fair value of financial instruments are estimated based on the following methods and assumptions:

a)	Cash, bank balances and short-term deposits, bank overdrafts, import loans, trade and other receivables, retentions payable and trade and other payables approximate their carrying amounts largely due to the short-term maturities.

b)	Term loans and lease liabilities are evaluated by the Group based on parameters such as interest rates. As at 30 June 2025 and as at 31 December 2024, the carrying amounts are not materially different from their fair values; and

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

9	FAIR VALUE MEASUREMENT (continued)

Fair value of financial instruments (continued)

Fair values of quoted equity investments and quoted debt instruments are derived from quoted market prices in active markets and in case of unquoted investment, fair values are provided by the investment managers or using other appropriate valuation techniques including fair values determined based on

unobservable inputs using market multiples or other appropriate valuation methodologies.

The fair values of financial assets and liabilities are not materially different from their carrying values as at 30 June 2025 and as at 31 December 2024.

Fair value of non-financial assets and liabilities

The Group does not have any non-financial assets or liabilities which have been remeasured at fair value as at 30

June 2025 and as at 31 December 2024.

Fair value hierarchy

All assets and liabilities for which fair value is measured or disclosed in the interim condensed consolidated financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities;

Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable; and

Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value

measurement is unobservable.

For assets and liabilities that are recognised in the interim condensed consolidated financial statements on a recurring basis, the Group determines whether transfers have occurred between levels in the hierarchy by reassessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period.

The following table provides fair value hierarchy of the Group's assets and liabilities:

30 June 2025 (Reviewed)
uoted prices	Significant	Significant
in active	observable	unobservable
markets	inputs	inputs
Level 1	Level 2	Level 3	Total
BD	BD	BD	BD

Assets measured at fair value

Investments at fair value through

other comprehensive income

- Quoted equity investments

- Unquoted equity investments

- 9,419,923

5,011,018 5,011,018

9,419,923 - - -

9,419,923 - 5,011,018 14,430,941
31 December 2024 (Audited)
Quoted prices	Significant	Significant
in active	observable	unobservable
markets	inputs	inputs
Level 1	Level 2	Level 3	Total
BD	BD	BD	BD

Assets measured at fair value

Investments at fair value through

other comprehensive income

- Quoted equity investments

- Unquoted equity investments

- 9,104,603

5,116,894 5,116,894

9,104,603 -

- -

9,104,603 - 5,116,894 14,221,497

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

9	FAIR VALUE MEASUREMENT (continued)

Liabilities measured at fair value:

There were no liabilities measured at fair value as of 30 June 2025 and as of 31 December 2024.

During the six-month period ended 30 June 2025 and year ended 31 December 2024, there were no transfers between Level 1 and Level 2 fair value measurements, and there are no transfers into or out of Level 3 fair value measurements.

Reconciliation of fair value measurement of Level 3 assets

Level 3 equity investments have been estimated using fair value provided by the investment managers or other appropriate valuation techniques including fair values determined based on unobservable inputs using market

multiples or other appropriate valuation methodologies.

Movement in the fair values of financial assets classified as level 3 category was as follows:

Six month

period ended

30 June

2025

(Reviewed)

Year ended

31 December

2024

(Audited)

At beginning of the period / year

Change in fair values

Disposal of shares

5,116,894 6,470,827

(66,320) (1,337,433)

(39,556) (16,500)

At end of the period / year

5,011,018

5,116,894

DIVIDENDS

At the annual general meeting of the shareholders held on 26 March 2025, a final cash dividend of 18 fils per share, excluding treasury shares, totaling BD 1,335,413 for the year ended 31 December 2024 was declared and paid (30 June 2024: At the annual general meeting of the shareholders held on 27 March 2024, a final cash dividend of 17 fils per share, excluding treasury shares, totaling BD 1,261,223 for the year ended 31 December 2023 was declared and paid.)

COMMITMENTS AND CONTINGENCIES

The Group has capital expenditure commitments of BD 5,114 as of 30 June 2025 (31 December 2024: BD 387,538).

Tender, advance payment and performance guarantees issued by banks on behalf of the Group, in the normal course of business, outstanding as at 30 June 2025 amounted to BD 955,174 (31 December 2024: BD 955,174).

12	SEGMENT REPORTING

For management purposes, the Group is organised into business units based on their products and services and has six reportable operating segments as follows:

Wholesale operations Import and distribution of foodstuff.

Investments

Dairy products and beverages Fruits and vegetables

Investment in quoted and unquoted securities

Production, processing and distribution of dairy products, juices, ice-cream, bottling of water and other items.

Import and distribution of fruits, vegetables and other food items.

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

12	SEGMENT REPORTING (continued)

Storage and logistics Providing of storage and logistics services.

Livestock

Import and sale of live animals, fresh, chilled and frozen meat and food service products.

No operating segments have been aggregated to form the above reportable operating segments.

Management monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on operating profit or loss which in certain respects, as explained later in a table, is measured differently from operating profit or loss in the interim condensed consolidated financial statements.

Transfer prices between operating segments are approved by Group's management.

The Group's geographical segments are based on the location of the Group's assets. Sales to external customers disclosed in geographical segments are based on the geographical location of its customers.

Segment assets include all operating assets used by a segment and consist primarily of property, plant and equipment, right-of-use assets, inventories, trade and other receivables, cash, bank balances and short-term deposits. Whilst the majority of the assets can be directly attributed to individual business segments, the carrying amounts of certain assets used jointly by two or more segments is allocated to the segments on a reasonable basis.

Segment liabilities include all operating liabilities and consist primarily of term loans, import loans, lease liabilities, employees' end of service benefits, contract and refund liabilities, government grant, trade and other payables and bank overdrafts. Whilst the majority of the liabilities can be directly attributed to individual business segments, the carrying amounts of certain liabilities used jointly by two or more segments are allocated to the segments on a reasonable basis.

Inter-segment revenues, transactions, assets and liabilities are eliminated upon consolidation and reflected in the adjustment and eliminations column.

Revenue for the three-month period ended 30 June 2025 in the State of Kuwait and Kingdom of Saudi Arabia amounted to BD 1,455,589 (2024: BD 1,470,833) and profit for the three-month period ended 30 June 2025 amounted to BD 25,291 (2024: BD 44,333). The remaining revenue and profit for the three-month period then ended is generated from the primary geographical segment in the Kingdom of Bahrain.

Revenue for the six-month period ended 30 June 2025 in the State of Kuwait and Kingdom of Saudi Arabia amounted to BD 2,651,265 (2024: BD 2,878,679) and profit for the six-month period ended 30 June 2025 amounted to BD 7,241 (2024: profit of BD 84,573). The remaining revenue and profit for the six-month period is generated from the primary geographical segment in the Kingdom of Bahrain.

At 30 June 2025, total assets in the State of Kuwait and Kingdom of Saudi Arabia amounted to BD 2,367,171 (31 December 2024: BD 2,278,306) and total liabilities amounted to BD 2,233,728 (31 December 2024: BD 2,144,866). All remaining assets and liabilities arise from the primary geographical segment in the Kingdom of Bahrain.

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

12	SEGMENT REPORTING (continued)

Three-month period ended 30 June (Reviewed)

Costs of revenue (excluding
depreciation)	(3,263,880) (3,571,629)

Other expenses (excluding
depreciation)	(460,226)

Depreciation on property, plant
and equipment	(27,533)

Investment income

(Loss) profit for the period

(189,928) (7,009)

The following table presents the details of segmental operating results for the three-month periods ended 30 June 2025 and 30 June 2024:

Wholesale operations
2025	2024
BD	BD

Investments
2025	2024
BD	BD

Dairy products and
beverages
2025	2024
BD	BD

Fruits and
vegetables
2025	2024
BD	BD

Storage and logistics
2025	2024
BD	BD

Livestock
2025	2024
BD	BD

Adjustments and
eliminations
2025	2024
BD	BD

Total
2025	2024
BD	BD

Revenue - third parties	3,589,030	4,176,302	-	-	5,932,346	6,029,798	356,173	362,638	166,942	144,652	1,341,691	1,230,123	-	-	11,386,182	11,943,513
Revenue - inter segments	142,133	123,236	-	-	16,067	23,141	29,867	11,841	67,987	77,274	13,544	380	(269,598)	(235,872)	-	-
Total revenue	3,731,163	4,299,538	-	-	5,948,413	6,052,939	386,040	374,479	234,929	221,926	1,355,235	1,230,503	(269,598)	(235,872)	11,386,182	11,943,513
			-	-	(4,307,161)	(4,408,707)	(333,439)	(318,833)	(76,961)	(63,467)	(1,215,384)	(1,041,711)	203,928	166,245	(8,992,897)	(9,238,102)
Gross profit	467,283	727,909	-	-	1,641,252	1,644,232	52,601	55,646	157,968	158,459	139,851	188,792	(65,670)	(69,627)	2,393,285	2,705,411
Other operating income	10,936	8,531	-	-	2,825	8,143	31,132	24,374	2,868	1,876	3,119	1,871	(19,610)	(13,797)	31,270	30,998
		(553,751)	-	-	(1,087,802)	(1,008,404)	(70,697)	(71,994)	(21,195)	(21,277)	(158,282)	(178,694)	30,984	31,137	(1,767,218)	(1,802,983)
		(28,551)	-	-	(117,744)	(121,197)	(10,112)	(10,407)	(101,340)	(75,386)	(2,099)	(1,795)	(4,127)	(4,127)	(262,955)	(241,463)
Depreciation on right-of-use assets	(36,170)	(35,140)	-	-	(72,657)	(73,300)	(4,950)	(4,814)	(12,287)	(12,287)	(2,976)	(2,841)	22,034	22,034	(107,006)	(106,348)
(Loss) profit from operations	(45,710)	118,998	-	-	365,874	449,474	(2,026)	(7,195)	26,014	51,385	(20,387)	7,333	(36,389)	(34,380)	287,376	585,615
		-	522,572	689,257	-	-	-	-	-	-	-	-	(189,467)	(331,889)	333,105	357,368
Finance costs	(113,486)	(95,318)	-	-	(4,865)	(425)	(6,620)	(8,049)	(49,273)	(6,252)	(1,739)	(4,038)	53,593	6,253	(122,390)	(107,829)
Finance costs on lease liabilities	(30,732)	(30,689)	-	-	(26,927)	(28,435)	(5,140)	(5,243)	(16,584)	(16,755)	(39)	(281)	29,947	30,254	(49,475)	(51,149)
Foreign exchange gains - net	-	-	-	-	10,425	14,017	-	-	-	-	-	-	-	-	10,425	14,017
			522,572	689,257	344,507	434,631	(13,786)	(20,487)	(39,843)	28,378	(22,165)	3,014	(142,316)	(329,762)	459,041	798,022

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

12	SEGMENT REPORTING (continued)

Six-month period ended 30 June (Reviewed)

Costs of revenue (excluding
depreciation)	(6,664,422) (7,121,743)

Other expenses (excluding
depreciation)	(922,302)

The following table presents the details of segmental operating results for the six-month periods ended 30 June 2025 and 30 June 2024:

Wholesale operations
2025	2024
BD	BD

Investments
2025	2024
BD	BD

Dairy products and
beverages
2025	2024
BD	BD

Fruits and
vegetables
2025	2024
BD	BD

Storage and logistics
2025	2024
BD	BD

Livestock
2025	2024
BD	BD

Adjustments and
eliminations
2025	2024
BD	BD

Total
2025	2024
BD	BD

Revenue - third parties	7,373,964	8,340,894	-	-	11,360,094	12,227,161	692,265	939,713	328,158	293,302	2,490,749	2,651,520	-	-	22,245,230	24,452,590
Revenue - inter segments	249,640	198,878	-	-	48,640	46,353	37,585	38,609	151,275	146,641	20,719	380	(507,859)	(430,861)	-	-
Total revenue	7,623,604	8,539,772	-	-	11,408,734	12,273,514	729,850	978,322	479,433	439,943	2,511,468	2,651,900	(507,859)	(430,861)	22,245,230	24,452,590
			-	-	(8,420,739)	(9,089,650)	(636,648)	(811,092)	(147,444)	(113,060)	(2,264,098)	(2,306,000)	361,417	289,290	(17,771,934)	(19,152,255)
Gross profit	959,182	1,418,029	-	-	2,987,995	3,183,864	93,202	167,230	331,989	326,883	247,370	345,900	(146,442)	(141,571)	4,473,296	5,300,335
Other operating income	25,795	22,789	-	-	43,425	27,184	62,918	44,107	5,285	3,664	5,141	4,948	(33,362)	(23,439)	109,202	79,253
		(1,049,633)	-	-	(2,131,162)	(1,990,951)	(133,796)	(147,534)	(43,392)	(41,060)	(311,809)	(338,274)	75,838	60,434	(3,466,623)	(3,507,018)
	(55,067)	(58,066)	-	-	(234,725)	(246,886)	(20,205)	(20,583)	(212,809)	(150,750)	(4,498)	(3,392)	(8,254)	(8,254)	(535,558)	(487,931)
Depreciation on right-of-use of assets	(71,738)	(70,280)	-	-	(148,152)	(145,367)	(9,901)	(9,564)	(24,575)	(24,575)	(5,952)	(5,616)	44,071	44,071	(216,247)	(211,331)
(Loss) profit from operations	(64,130)	262,839	-	-	517,381	827,844	(7,782)	33,656	56,498	114,162	(69,748)	3,566	(68,149)	(68,759)	364,070	1,173,308
		-	1,362,393	1,736,403	-	-	-	-	-	-	-	-	(267,303)	(680,192)	1,095,090	1,056,211
Finance costs	(219,116)	(174,374)	-	-	(16,086)	(1,736)	(16,511)	(17,914)	(97,592)	(14,060)	(3,105)	(8,928)	106,258	14,060	(246,152)	(202,952)
Finance costs on lease liabilities	(61,607)	(61,337)	-	-	(54,757)	(57,202)	(10,296)	(10,495)	(33,168)	(33,510)	(93)	(570)	59,890	60,509	(100,031)	(102,605)
Foreign exchange gains, net - - - - 21,199						29,003	-	-	-	-	-	-	-	-	21,199	29,003
1,362,393 1,736,403 467,737						797,909	(34,589)	5,247	(74,262)	66,592	(72,946)	(5,932)	(169,304)	(674,382)	1,134,176	1,952,965

Depreciation on property, plant

and equipment

Investment income

(Loss) profit for the period

(344,853) 27,128

Capital expenditure (2,767,657) 1,206,944 - - 323,390 421,211 4,000 19,400 2,949,719 12,643 - 8,032 - - 509,452 1,668,230

The following table presents the details of segmental assets and liabilities as at 30 June 2025 and as at 31 December 2024:
				Dairy products and
Wholesale operations		Investments		beverages
30 June	31 December	30 June	31 December	30 June	31 December
2025	2024	2025	2024	2025	2024
(Reviewed)	(Audited)	(Reviewed)	(Audited)	(Reviewed)	(Audited)
BD	BD	BD	BD	BD	BD

Fruits and
vegetables
30 June	31 December
2025	2024
(Reviewed)	(Audited)
BD	BD

Storage and logistics
30 June	31 December
2025	2024
(Reviewed)	(Audited)
BD	BD

Livestock
30 June	31 December
2025	2024
(Reviewed)	(Audited)
BD	BD

Adjustments and
eliminations
30 June	31 December
2025	2024
(Reviewed)	(Audited)
BD	BD

Total
30 June	31 December
2025	2024
(Reviewed)	(Audited)
BD	BD

Assets 15,291,778 16,640,474 25,735,177 26,814,158 19,938,487 19,088,988 1,331,671 1,537,133 6,332,708 3,487,323 3,848,968 3,430,452 (18,588,925) (15,371,331) 53,889,864 55,627,197

Liabilities 12,211,130 12,934,976 - - 6,442,024 7,409,928 953,427 1,116,044 4,416,399 1,496,752 869,939 687,519 (6,069,322) (3,034,254) 18,823,597 20,610,965

Trafco Group B.S.C.

NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

At 30 June 2025 (Reviewed)

13	RELATED PARTY TRANSACTIONS AND BALANCES

Related parties represent major shareholders, companies having common directors and key management personnel of the Group, and entities controlled, jointly controlled or significantly influenced by such parties. Pricing policies and terms of these transactions are approved by the Group's management.

Transactions with related parties included in the interim consolidated statement of profit or loss and other comprehensive income for the six-month periods ended 30 June 2025 and 30 June 2024 respectively, are as follows:

Six-month period ended
30 June 2025
Revenue	Purchases	Income	Expenses
BD	BD	BD	BD

Companies with common directors 343,010 435,517 780,525 103,904

Six-month period ended
30 June 2024
Revenue	Purchases	Income	Expenses
BD	BD	BD	BD

Companies with common directors 342,388 1,467,918 724,625 108,297

Balances with related parties included in the interim consolidated statement of financial position as at 30 June 2025 and as at 31 December 2024, are as follows:

At 30 June 2025 At 31 December 2024
(Reviewed) (Audited)
Due from	Due to Due from Due to
BD	BD BD BD

Companies with common directors 211,239 404,821 212,486 474,584

Terms and conditions

Transactions are made at prices agreed mutually with the related parties. Outstanding balances at the period-end and year-end arose in the normal course of business are unsecured, interest free and settlement occurs in cash.

Compensation of key management personnel

The remuneration of directors and other members of key management personnel during the three and six-month

periods ended are as follows:

Three-month	period	ended	Six-month period	ended
30 June (Reviewed) 30 June (Reviewed)
2025		2024	2025	2024
BD		BD	BD	BD

Short-term benefits

Employees' end of service benefits

112,111 194,565

1,819 3,267

229,356

4,085

83,221 858 84,079 113,930 197,832 233,441

Short term benefits during the six-month period includes provision for Directors' remuneration of BD 30,000 (2024: BD 70,000) and Directors' fees of BD 36,600 (2024: BD 36,000).

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