Maaden widens Q1 2020 net losses to SAR 353.3 mln

Saudi Arabian Mining Co. (Maaden) widened its net losses after Zakat and tax more than twofold to SAR 353.2 million for the first quarter of 2020, compared to SAR 127.2 million in the same period last year.

The company cited lower average realized prices of all products except gold, and decline in sales volume of ammonia and alumina despite higher sales volume for all other products.

Moreover, lower share of net profit of joint ventures, income from time deposits and an increase in other expenses also contributed to the losses.

An increase in cost of sales by 11% due to increased volume sold, higher selling, marketing and logistic expenses by 7%, general and administrative expenses by 67%, and exploration and technical services expenses by 67% also affected the results of the quarter.

When compared to Q4 2019, net losses increased by 27.7% on a decrease in income from time deposits and increase in other expenses.