Yamama Cement to see better full-year results on high demand, prices: CEO

Jehad Al-Rasheed CEO of Yamama Cement Co.

Yamama Cement Co.'s CEO Jehad Al-Rasheed said that the increase in demand and the general improvement in selling prices for cement in January supports expectations that it will see between results in 2024.

Major projects have begun the demand, which is expected to increase further, especially after the Public Investment Fund launched the contractors’ financing program in partnership with the National Infrastructure Fund, Al-Rasheed explained in an interview with Argaam.

Regarding the company's financial results for 2023, Al-Rasheed said that the decline in demand for cement and fierce competition weighed on the company’s operations, as the quantities sold during the past year fell by about 7% with the increase in clinker production. He added that the rise in interest rates greatly affected lending, especially to individuals, which was evident in the decline in mortgage loans compared to previous years.

The decision to adjust the prices of fuel used for cement production 'Will affect, at different levels, the sector players and production costs, directly and indirectly, and it will also affect consumers,” said Al-Rasheed, stressing that the company will announce the expected financial impact soon.

The CEO also indicated that, work is still ongoing to complete the project to transfer production line No 7, adding that Yamama Cement is ready to meet the market needs, especially in Riyadh, and is prepared for the upcoming increases in demand.