Saudi Arabia’s Tabuk Cement Co has reported net losses of SAR36.08m (US$9.6m) in the 2Q18, against profits of SAR1.29m in the equivalent period of the previous year.

For the first half of 2018, losses reached SAR47.3m, versus profits of SAR9.97m in the 1H17.

The 2Q18 result has been attributed to low selling prices on the back of strong competition with an increase in sales volumes unable to off-set this. In addition, an increase in depreciation led to higher sales costs that combined with an increase in financing costs exacerbated the result. The clinker stock was also re-evaluated and this led to a fall in its value to SAR12m. Intangible assets also declined by SAR7.4m, the company said in a statement to the Saudi Stock Exchange.