Riyadh – Mubasher: Methanol Chemicals Company (Chemanol) achieved net profits after Zakat and tax of SAR 29.88 million during the first quarter (Q1) of 2021, against net losses worth SAR 28.6 million in the same period last year.

The company posted earnings per share (EPS) of SAR 0.25 in Q1-21, versus a loss per share of SAR 0.24 in Q1-20, according to a bourse disclosure on Sunday.

Sales meanwhile increased by 61.92% year-on-year (YoY) to SAR 194.79 million in Q1-21, compared with SAR 120.3 million.

Quarter-on-quarter (QoQ), Chemanol turned to profit against net losses of SAR 13.75 million in Q1-20.

Sales grew by 34.68% QoQ when compared with SAR 144.63 million during the first three months of 2020.

Last week, the Saudi Capital Market Authority (CMA) approved Chemanol’s request to reduce the capital by SAR 531.49 million.

The capital will become SAR 674.5 million distributed over 67.45 million shares, compared to SAR 1.2 billion and 120.6 million shares prior to the cut.

Chemanol’s extraordinary general assembly will have to approve the capital reduction and the company to complete necessary procedures in relation to the applicable regulations.

In addition, the CMA issued its resolution approving the company’s request to increase the capital through a rights issue valued at SAR 480 million, subject to the shareholders' approval of capital reduction.

The listed firm had submitted the capital reduction request to the CMA, and then to increase by a rights issue, last December.