| 18 May 2024, Saturday |

Saudi petrochemicals producer SABIC posts fivefold profit jump

Petrochemicals giant Saudi Basic Industries Corp (SABIC) on Thursday reported a fivefold surge in third-quarter profit helped by higher average selling prices.

SABIC reported a post-tax profit of $1.5 billion, up from $294 billion a year earlier but missing a $1.6 billion consensus from estimates by four analysts compiled by Refinitiv.

Revenue surged 49 percent to $11.5 billion.

Net income was helped not only by higher average selling prices but also by a surge in its share of results from joint ventures and associates, SABIC said. Unlike the third quarter of last year, there were also no material impairments.

Despite the increase in average sales prices, there was a moderation in margins due to rise in feedstock costs, it said.

“SABIC’s healthy financial performance during the third quarter of 2021 marked a continuation of our recovery from the impact of COVID-19, albeit at a lower level than our exceptionally strong performance during the second quarter,” CEO Yousef Abdullah al-Benyan said in a statement.

SABIC is 70 percent owned by Saudi state-controlled oil producer Saudi Aramco.

  • alarabiya