Riyadh – Mubasher: Saudi Basic Industries Corp (SABIC) reported a decline of 25.2% in net profits during the second quarter of 2017 compared to the same period a year ago.
Earnings shrank to SAR 3.71 billion in Q2-17 from SAR 4.96 billion in Q2-16, according to a bourse statement issued on Sunday.
The drop in Q2 profits is attributed to higher cost of sales and lower sold quantities, in addition to losses of SAR 483 million reported by Hadeed, one of SABIC's affiliates.
Total sales decreased by 3% to SAR 35.05 billion in Q2-17 from SAR 36.26 billion in Q2-16.
During the first six months of 2017, SABIC achieved a growth of 13.6% in profits to SAR 8.94 billion from SAR 7.87 billion in the same half a year ago.
SABIC’s total sales in H1-17 stood at SAR 72 billion compared to SAR 69.73 billion in H1-16; a year-on-year increase of 3%.
It is noteworthy that SABIC recorded a surge of 80% in net profits to SAR 5.24 billion during the first quarter this year from SAR 2.91 billion in Q1-16.
