In a recent report, Al-Rajhi Capital has stated that Yansab’s Q3 net income of SAR 691.3 million (-20.1% year-on-year) was ahead of its SAR 640.4 million expectation.
The company’s operating profit, too, was ~8% ahead of Al-Rajhi Capital’s forecast.
As per the press release, the lower general & administrative expenses and finance costs helped alleviate the dip in profits; however, the research firm believes the company may have sold higher-than-anticipated volumes thereby offsetting price declines.
Over the past couple of weeks, the global macroeconomic scenario has led to a steep decline in Brent prices, which has led to investor pessimism resulting in Yansab’s stock price declining over 12% since the beginning of the month.
For now, the report issuer keeps the target price and rating ‘Under Review’.