Tasnee 2023 profit down 74% to SAR 174.6M; Q4 loss at SAR 17.1M

National Industrialization Co. (Tasnee) posted a 74% profit decline in 2023 to SAR 174.6 million, compared to SAR 666.3 million in 2022.

The annual profit drop was attributed to lower sales revenue and share of profit from investments in joint ventures and associates due to the slump in average selling prices, non-cash tax charges on the change in accounting estimates with respect to the deferred tax assets related to an associate, Tronox Holdings plc.  

This is in addition to the higher cost of sales, selling and distribution expenses and financing costs. This is despite the increase in sales volumes of most of the products, the decrease in general & administrative expenses, impairment of non-financial assets, Zakat provisions and higher Murabaha income. 

The company incurred a net loss of SAR 17.1 million in Q4 2023, against a net profit of SAR 43.09 million in Q4 2022.

On a sequential basis, the company turned to losses versus a net profit of SAR 78.21 million in Q3 2023.

Shareholders’ equity, excluding minority interest, reached SAR 9.64 billion as of Dec. 31, 2023, up from SAR 9.61 billion a year earlier.

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