Saudi Steel Pipe’s profit rises to SAR 56.1M in Q1 2024

Saudi Steel Pipe Co. (SSP) posted a net profit rise to SAR 56.1 million after minority interest in Q1 2024, up from SAR 6.4 million in the year-earlier period.

The first-quarter revenue rose to SAR 515 million from SAR 167 million in Q1 2023 on higher volumes. This increase was primarily attributed to the consolidation of post-acquisition results from Global Pipe Company (GPC) in the Q1 2024 figures. SSP raised its total ownership in GPC by 22.27% to 57.27%.

Gross profit grew to SAR 107 million in Q1 2024 from SAR 24 million in the prior-year period, driven by higher sales volumes, thanks to the consolidation of GPC and the improved sales mix.

Meanwhile, the selling and distribution expenses decreased to SAR 6 million from SAR 8 million in Q1 2023 due to the non-recurring logistics costs recorded in Q1 2023.

SSP recorded a decline in the doubtful debt provision to SAR 200,000 from SAR 2 million in Q1 2023.

On the other hand, finance costs increased to SAR 9 million in the three-month period from SAR 3 million in Q1 2023. Administrative expenses also increased to SAR 12 million.

The pipe manufacturer reported a decline of 1.8% in net profit from SAR 57.16 million in Q4 2023, as other income declined to SAR 1 million from SAR 5 million in Q4 2023.

Shareholders’ equity, after minority interest, amounted to SAR 778 million by March 31, 2024, compared to SAR 557 million a year earlier.

Attached Documents

View More Financial Results