Riyadh - Mubasher: Saudi Ceramic Company reported a drop in profits by 91.35% in 2016, according to the company’s statement to the Saudi Stock Exchange (Tadawul) on Wednesday.

Net profit amounted to SAR 24.54 million last year down from SAR 283.8 million in 2015, as shown by the company’s financial results.

The decline in profits is attributed to the decrease in sales due to lower local market demand that was caused by the reduction of projects and continuation of dumping in the local market. Thus, the company had to reduce its selling prices to maintain its market share, which led to a decrease in gross profit, the statement indicated.

This is in addition to an increase in financing expenses, zakat expenses, and the decline in other revenues since there were nonrecurring savings in the same period in the previous year.

The company has faced challenges due to the economic situation in the Kingdom and the reduction of government and private construction contracts, in addition to the dumping situation, it added.