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Ali Alayed, CEO of Yanbu Cement
Ali Alayed, CEO of Yanbu Cement Co., said that competition in the sector continues to be strong, coupled with fluctuations in prices.
In an interview with Al Arabiya, Alayed said the prices rise in the third quarter was limited, while the sales increased at a reasonable rate thanks to the company's marketing methods.
In addition, the decrease in production costs was due to the initiatives followed by the cement producer, along with the re-exploitation of waste heat through recycling and converting waste energy into electricity, as well as outsourcing some works.
The company pursues this direction to ensure lowest costs while maintaining the product quality.
For the past three years, the cement demand has hovered around 50 million tons, Alayed said, adding that the current indicators show that demand is expected to rise starting from H2 2023.
He indicated that the compound energy products exceeded 75 million tons, stressing that Yanbu Cement expects highest profit levels. This also depends on supply and demand and the market competition, he added.
Yanbu Cement's profits rose to SAR 156.2 million by the end of 9M 2022, compared to SAR 149.7 million in the same period last year; while the Q3 profits amounted to SAR 69.3 million, according to data compiled by Argaam.
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