Nama Chemicals sustains SAR 18.8 mln loss in Q1 2023

Nama Chemicals Co. swung to a net loss of SAR 18.8 million in Q1 2023, against a net profit of SAR 33.4 million in the prior-year period.

The company attributed these losses to a 41.6% year-on-year (YoY) drop in revenues, due to the sharp decline in the average selling prices of products amid global economic conditions and their impact on demand.

It also cited a slight increase in general and administrative expenses as a result of higher provisions. An increase in financing expenses on bank facilities and lower other revenues also weighed on the first-quarter results.

On the other hand, Nama posted a 17.5% YoY rise in revenues on better sales volumes, along with lower selling and marketing expenses.

Compared to Q4 2022, net losses widened by 6.3% from SAR 17.70 million as revenues dropped 13.6%. The company also reported higher selling and marketing expenses and finance costs, along with a decline in other revenues.

Shareholders’ equity, after minority interest, increased to SAR 367.16 million as of March 31, 2023, from SAR 366.14 million a year earlier.

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