Safco first quarter profits soar 263 percent
Saudi Arabian Fertilizers Company (SAFCO), a unit of petrochemicals giant Saudi Basic Industries Corporation (SABIC), reported net profits of 85 million Saudi riyals ($26.6 million) in the first three months of financial year 2003. This figure represents an impressive 263 percent rise, compared to the SR23.4 million in net profits posted during the first quarter of 2002.
The remarkable profits were primarily attributed to higher sale prices and increased sales volumes, with Ammonia price per ton rising 56 percent rise and urea price per ton by 38 percent. At the same time, Safco has increased its output by two percent, while sales volume climbed 24 percent compared with 1Q02.
Safco board of directors has approved an expansion plan for the company, which is designed to raise output by one million tons of ammonia and 100,000 tons of urea by early 2006.
Safco is a Saudi Joint Stock Company with an authorized capital of two billion SR. The company is 43 percent owed by Sabic and remaining 57 percent held by the private sector. Based in Riyadh, Sabic is the Middle East’s largest petrochemicals company. The Saudi government owns 70 percent of Sabic shares, with the remaining 30 percent held by private investors in Saudi Arabia and other countries of the Gulf Cooperation Council (GCC). — (menareport.com)
© 2003 Mena Report (www.menareport.com)