Saudi Basic Industries Corp. announces its Interim Financial Results for the Period Ending on 2023-06-30 ( Six Months )
| Element List | Current Quarter | Similar quarter for previous year | %Change | Previous Quarter | % Change |
|---|---|---|---|---|---|
| Sales/Revenue | 37.17 | 55.98 | -33.6 | 39.69 | -6.35 |
| Gross Profit (Loss) | 5.37 | 15.09 | -64.41 | 5.68 | -5.46 |
| Operational Profit (Loss) | 1.43 | 10.25 | -86.05 | 1.69 | -15.38 |
| Net Profit (Loss) after Zakat and Tax | 1.18 | 7.93 | -85.12 | 0.66 | 78.79 |
| Total Comprehensive Income | 1.2 | 6.57 | -81.73 | 0.93 | 29.03 |
| All figures are in (Billions) Saudi Arabia, Riyals | |||||
| Element List | Current Period | Similar period for previous year | %Change |
|---|---|---|---|
| Sales/Revenue | 76.86 | 108.62 | -29.24 |
| Gross Profit (Loss) | 11.06 | 28.57 | -61.29 |
| Operational Profit (Loss) | 3.12 | 19.72 | -84.18 |
| Net Profit (Loss) after Zakat and Tax | 1.84 | 14.4 | -87.22 |
| Total Comprehensive Income | 2.13 | 14.02 | -84.81 |
| Total Share Holders Equity (after Deducting Minority Equity) | 176.78 | 180.66 | -2.15 |
| Profit (Loss) per Share | 0.61 | 4.8 | |
| All figures are in (Billions) Saudi Arabia, Riyals | |||
| Element List | Explanation |
|---|---|
| The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is | The global economy is continuously slowing down as a result of tightening monetary policies to confront inflation, leading to weaker demand and a decrease in the average selling prices of the company's products as well as lower quantities sold.
As a result, there was a sharp decline in gross profit and EBIT, despite lower feedstock cost and lower selling and distribution expenses. Year over year, SABIC's share in results of non-integral joint ventures and associated companies decreased substantially. |
| The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter of the current year is | SABIC’s target markets were subject to a continuous decline in demand and an increase in supply for most of the company's products, leading to lower average selling prices, which was partially offset by lower feedstock cost.
As a result, gross profit and EBIT decreased moderately versus prior quarter. In the second quarter, re-measurement gains in option rights related to joint venture agreements positively affected financial result, which lead to an increase of net income quarter over quarter. |
| The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is | The global economy is continuously slowing down as a result of tightening monetary policies to confront inflation, leading to weaker demand and a decrease in the average selling prices of the company's products as well as lower quantities sold.
As a result, there was a sharp decline in gross profit and EBIT, despite lower feedstock cost and lower selling and distribution expenses. Year to date, SABIC's share in the results of non-integral joint ventures and associated companies decreased versus prior year. This adverse effect was offset by re-measurement gains in option rights related to joint venture agreements and lower Zakat and tax expenses. Hence, net income decreased in accordance with the result from operations compared to prior year. |
| Statement of the type of external auditor's report | Unmodified conclusion |
| Reclassification of Comparison Items | Certain prior period figures have been re-classified to conform with the presentation in the current period with no impact in income from operations and net income. |
| Additional Information | Attached 2Q 2023 earnings release and presentation in addition to an update on SABIC ESG |
| Attached Documents |  |
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