Hail Cement sees net income tumble 113% in 9M22

Hail Cement has posted revenue of SAR268.22m (US$71.5m) in the opening nine months of 2022, up 31.6 per cent compared to the SAR203.88m seen in the 9M21. However, net income fell by 112.5 per cent from SAR47.17m in the 9M21 to a loss of -SAR5.9m in the same period a year later. Earnings per share in the 9M22 came in at -SAR0.06 versus SAR0.48 in the same period a year earlier.

According to the company, the loss is being attributed to lower average selling prices and higher cost of sales. Losses were also recorded from financial investments at fair value during the current period, says Hail Cement.

In the third quarter of 2022 alone, revenue advanced by 84.2 per cent YoY to SAR103.28m, compared to SAR56.08m in the 3Q21. Net income over the same timeframe improved by 31.3 per cent from SAR5.96m to SAR7.82m, driven by higher sales volumes and value over the three-month period, along with lower general and administrative expenses.

Total shareholders’ equity, after minority interest, reached SAR1.05bn as of 30 September 2022, compared to SAR1.16bn in the same period a year earlier.