Saudi producers' 2Q net profit drops

Saudi Cement reportedly dropped an 11.8 per cent in net profit for 2Q15 to SAR254m, from SAR288m in 2Q14. It attributed the fall in net profit to lower local sales without elaborating.

Another Saudi producer, Najran Cement made net earnings of SAR77.8m in the second quarter ended 30 June, falling 7.77 per cent from SAR84.3m in the year-earlier period. The profit decline was mainly attributable to the increase in selling and distribution (cement transportation incentives), general and administration, finance and zakat expenses despite the increase in sales volume.

First-half net earnings climbed 22.99 per cent YoY from SAR138m to SAR170m. The 1H profit rise was mainly due to higher sales volume despite the increase in selling and distribution