Mubasher: Qurain Petrochemical Industries Company (QIPC) has achieved a net profit of KWD 28.23 million ($ 91.37 million) in fiscal year (FY) ended on 31 March 2020, compared to KWD 45.33 million ($ 146.72 million) in the previous year.

Earnings per share (EPS) came to 27.45 fils ($ 88.85 cents) as of 31 March 2020, compared with 43.64 fils ($ 141.25 cents), according to a press release on Thursday.

In the meantime, consolidated gross profit soared by 20% to reach KWD 75.90 million ($ 245.67 million) when compared to KWD 63.48 million ($ 205.46 million), helped by a growth in sales revenues and the positive impact of the consolidation of Jassim Transport & Stevedoring Company (JTC).

Moreover, total assets stood at KWD 779.42 million ($ 2.52 billion), up by 7% from KWD 731.13 million ($ 2.37 billion), owing to the recent acquisition of JTC.

Additionally, QPIC’s Board of Directors proposed a cash dividend distribution of 16% or 16 fils per share, subject to the approval of the company's general assembly and regulatory authorities.

Commenting on the results, QPIC’s chairman, Sheikh Mubarak Abdullah Al Sabah, said: “The lower announced results mainly attributed to the sharp drop witnessed in petrochemical markets and product prices during the fiscal year from the exceptional peaks it reached the previous year and especially with having around 43% exposure to petrochemicals within our investment portfolio.”

Furthermore, QPIC’s vice chairman and CEO, Sadoun Ali, concluded, “The results are in line with our expectations. The numbers are supported by our diversified investment portfolio that withstood the sharp drop in the petrochemical markets which was positively offset by the remarkable positive performance of our subsidiary, Saudi Dairy & Foodstuff Company (SADAFCO) that registered around 22% increase in net profits compared to the previous year.”

"Our performance in the upcoming financial year will mainly rely on two factors, namely the improvement of oil and petrochemical prices and the duration of the onset of the COVID-19 pandemic, impacting the speed of recovery of the regional and global markets," the CEO concluded.