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Nama Chemicals logo
Nama Chemicals Co.'s profit in the second quarter and first half of 2022 was buoyed by improved selling prices of products, said CEO Abdullah Al-Salim.
In an interview with CNBC Arabia TV, the top executive said that the average prices rose by about 33% compared to last year, indicating that the company's main product along with the rest of the products rose by rates ranging between 5-40%.
Al-Salim added that an improvement in the logistics transportation system boosted the company's performance and results, which led to savings in raw materials, the main product, as the company did not face major issues during this year.
Asked about the impact of global supply chain disruptions on the company, the CEO stated that Nama Chemicals faced some small issues, especially last April, but in general the impact is less than last year.
As regards the impact of global inflation on product prices, Al-Salim said: “The impact began to be more evident at the end of the second quarter, and it varies from one product to another. Some products witnessed sharp declines, while others saw less severe drops. However, in general, prices have been continuing their downward trend since mid-June".
He added that the company has a small amount of commercial loans with variable interest rates, which range from SAR 35 million to SAR 40 million, indicating that it is a remaining amount from two loans with some banks.
Nama Chemicals' profit rose to SAR 60.1 million by the end of H1 2022, compared to SAR 19.5 million profit generated in the same period a year ago, according to Argaam's data.
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