On 14 January, Saudi Arabia’s largest cement company, Saudi Cement, reported an 8.9% rise in fourth quarter net profit, beating analysts’ forecasts.
According to a bourse filing, the manufacturer recorded a net profit of SAR269 million (US$71.68 million) in the three months ended 31 December 2014, compared with a profit of SAR247 million in October – December 2013. On average, analysts expected the company’s quarterly net profit to be around SAR259.8 million.
The growth in profit was attributed to higher cement sales and an increase in earnings from associated companies. Saudi Cement recorded a total profit of SAR1.08 billion in 2014, a 4.4% fall compared to 2013.
Saudi Cement Company will remove kilns 1, 2 and 3 from its Holuf plant. After initially restarting the kilns in late 2012 to meet demand levels, these older kilns are no longer needed.
Saudi Cement Company said net profits for the third quarter rose by more than a third against the same period last year, though results were down against the second quarter.