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2010.O
2010.O
Saudi Basic Industries Corp. (SABIC) reported a dip in its quarterly earnings as its chief executive said a shortage of natural gas was limiting its domestic growth, making expansion abroad vital, according to Arab News.
SABIC, the biggest listed company in the Gulf and one of the world’s largest petrochemical firms, said net profit slipped 1.8% from a year earlier to SAR 6.44 billion ($1.72 billion) in the first quarter of 2014.
Chief financial officer Mutlaq Al-Morished said sales in the first quarter climbed to SAR 49.5 billion from SAR 46.8 billion a year earlier.
However, SABIC said lower prices for some of its petrochemical products offset rises in output and sales volumes, while expenses related to sales and administration increased.
More broadly, SABIC CEO Mohamed Al-Mady complained that a lack of ample natural gas supplies within Saudi Arabia had emerged as a key constraint on growth there. Natural gas is used as a feedstock for petrochemical production.
SABIC, the biggest listed company in the Gulf and one of the world’s largest petrochemical firms, said net profit slipped 1.8% from a year earlier to SAR 6.44 billion ($1.72 billion) in the first quarter of 2014.
Chief financial officer Mutlaq Al-Morished said sales in the first quarter climbed to SAR 49.5 billion from SAR 46.8 billion a year earlier.
However, SABIC said lower prices for some of its petrochemical products offset rises in output and sales volumes, while expenses related to sales and administration increased.
More broadly, SABIC CEO Mohamed Al-Mady complained that a lack of ample natural gas supplies within Saudi Arabia had emerged as a key constraint on growth there. Natural gas is used as a feedstock for petrochemical production.
Source:
Mubasher
