Riyadh – Mubasher: Saudi Steel Pipe on Wednesday reported a 28% decline in net profit of the third quarter of 2016.
The company posted SAR 5.77 million ($1.5 million) in Q3-16 from SAR 8.02 million ($2.14 million) in Q3-15, according to a bourse filing.
The fall in net profits was attributed to the decrease in deliveries related to projects and in local market demand for commercial pipes.
A provision for slow moving and obsolete inventory amounting to SAR 2 million also contributed to lower profits, the statement said.
"Improvement in the financial results of Global Pipe Company and turning into profitability of TSM Arabia resulted to reduction in the difference of the two quarters income," according to the company.
The company's net profits retreated 54% to SAR 19.72 million in the first nine months of 2016 from SAR 42.89 million in the year-ago period.
