Saudi Cement net profit down 37pc in Q1

14/05/2017 07:35 AST

Saudi Cement has registered a 37 per cent drop in its net profit for the first quarter which fell to SR165 million ($44 million) from SR265 million ($70.5 million) last year owing to the drop in sales volume and sale price as a result of sluggish demand.

This was in line with the estimate of SR161 million as well as consensus forecast of SR167 million, said a report by top Saudi lender Al Rajhi Capital.

One of the kingdom's largest cement firms by market value, Saudi Cement also saw its net profit fall 12 per cent quarter-on-quarter (q-o-q). it added.

Despite weaker volumes, helped by locational advantage, the company's average realized price marginally declined by three per cent y-o-y and was down two per cent q-o-q, as compared to deep discounts offered by other cement companies, according to Al Rajhi Capital report.

Saudi Cement's gross profit declined 35 per cent y-o-y to SR191 million, impacted by the decline in the top-line as well as the increase in cost per ton by four per cent y-o-y.

However, Al Rajhi pointed out that the company holds the highest level of inventory in the sector (5.1 million tonne), which could give it an advantage over its peers in the coming quarters after any potential removal of energy subsidies.

"However, the advantages are unlikely to sustain due to increasing competition amid weak demand outlook, which may lead the company to offer discount in coming few months. We continue with our neutral rating on the stock and an unchanged target price of SR55 per share," it added.


Trade Arabia

News

Saudi Cement posts SR249m net profit

26/07/2016

Saudi Cement met analysts' estimates as it reported a 2 percent decline in second-quarter net profit on Monday due to a drop in sales and rising power costs.

One of the Kingdom's largest cem

Arab News

Saudi Cement announces cash dividends for 1st Half 2016

25/05/2016

The Board of Directors of Saudi Cement Company has resolved during its meeting held on 24/05/2016 (17/08/1437), to distribute interim dividends to the shareholders for the period first half of 2016 a

Tadawul

Saudi Cement Q1 net profit falls 13pc

19/04/2016

Saudi Cement has reported a 12.5 percent drop in its first-quarter net profit, hurt by a decrease in sales and an increase in energy costs.

One of the kingdom's largest cement firms by mar

Trade Arabia

Most Viewed Companies

Ticker Price Volume

Valuation

SAUDICEMENT Sector Market
P/E
Price/BookValue
Dividend Yield (%)

Momentum

Relative Strength
  • 1-Month
  • 3-Month
  • 1-Year
Volume Change
  • 10D Avg Vs 90D Avg
Price Vs…
  • 52-w high
  • 50-day moving avg.
  • 200-Day Moving Avg

Top Related Companies

Ticker Price Change
MAADEN 70.10 0.10 (0.14%)
SABIC 60.05 0.80 (1.35%)
SABICAGRINUTRIENTS 151.50 3.00 (2.02%)
YANSAB 34.00 0.20 (0.59%)
LUBEREF 112.70 2.20 (1.99%)

Recent News

Gulf Bank issues its 2025 Sustainability Report

10/04/2026

Gulf Bank has issued its sixth annual Sustainability Report for the year 2025, titled "Converting to a Sustainable Path," highlighting the Bank's ESG progress and performance. The report reflects the

Kuwait Times

Saudia to Partially Resume Flights To, From Dubai, Abu Dhabi, and Amman on Saturday

10/04/2026

Saudia announced on Thursday the partial resumption of its operations to and from Dubai, Abu Dhabi, and Amman starting Saturday, April 11.

In a post on its official account on the social med

Asharq Al Awsat

Zain Bahrain names Ammar Al Ketbi as new CEO

09/04/2026

Zain Bahrain, a leading provider of telecom services, innovative technologies and digital lifestyle experience in the kingdom, has appointed Ammar Al Ketbi as its new Chief Executive Officer.

Trade Arabia

Al Mal Capital appoints Sanjay Vig as Chief Executive Officer

09/04/2026

Al Mal Capital , a UAE based investment management and financial advisory firm, licensed by the Capital Markets Authority (CMA) has appointed Sanjay Vig as the Chief Executive Officer.

Vig

Trade Arabia

Abu Dhabi Maritime Academy inks deal with Congolese mining firm

09/04/2026

Abu Dhabi Maritime Academy (ADMA), the region's leading academic institution for maritime training, and an integral part of AD Ports Group, has signed a research, development, and operational deploym

Trade Arabia

logo

Financial Information Co.

Saudi Arabia

GCC Markets

Mutual Funds

News

Investment Tools

Sector News

Screeners

Indices & Commodities

Downloads

Copyright ©2001 - 2025, Financial Information Co. All Rights Reserved.

Terms of Services | Privacy Policy | Advertise with us | Contact Us | Sitemap