Saudi Arabian Mining Company (Maaden) reported a sharp rise in revenues and net profits for the latest quarter, outperforming both the previous quarter and the same period last year.
Net profit for the quarter jumped 88% year-on-year, driven mainly by stronger product prices, higher sales volumes in the phosphate and gold segments, positive contributions from joint ventures, and lower financing costs, according to the company’s financial results released Thursday on the Saudi Stock Exchange (Tadawul).
Maaden’s net profit increased by SAR 898 million ($239.5 million), supported by a SAR 1.336 billion ($356.3 million) boost in gross profit - a 61% rise - on the back of improved selling prices and increased sales volumes.
The company noted that the profit growth was partly offset by higher operating expenses, including provisions for expected credit losses, and by the absence of a one-off SAR 270 million ($72 million) insurance claim recorded in the same quarter last year.
Revenues for the quarter rose by SAR 2.232 billion ($595.2 million), a 31% increase from the year-ago period. This growth was fueled by higher selling prices in the phosphate, aluminum, and gold segments, along with increased sales volumes in phosphate and gold. The gain was partially offset by a slight dip in aluminum sales volumes.
