Northern Region Cement 2Q net profit down 83%

Northern Region Cement Co on Wednesday announced that its net profits fell 83 per cent YoY in the second quarter of 2017. Profits fell to SAR8.26m during the three months ending June 2017, from SAR48.66m in 2Q16, according to a bourse filing.

On a sequential basis, net profit was down by 49.8 per cent YoY.

The Saudi cement company attributed the decrease in its YoY net profits to the increase rising interest rates on debt and the drop in other revenues.

Sales went down 55.1 per cent to SAR112.92m in 2Q17, from SAR251.67m in the corresponding period in the year before.

In the first half of 2017, net profits fell 73.2 per cent to reach SAR24.59m, compared to SAR91.57m in 1H16. Sales declined 50.2 per cent to SAR240.22m in 1H17, from SAR482.81m in the same period in the year before.