Arabian Cement CEO highlights “a positive outlook” towards the sector

Arabian Cement Co. has a positive outlook towards the sector, particularly, with the launching of government projects, including Jeddah’s Downtown, the Red Sea project and the Makkah projects, the company’s CEO Badr Jawhar told Argaam in an interview.

Commenting on the financial results, Jawhar said that the results were achieved due to the improvement and stability of selling prices in Q3 2019 compared to the same quarter in 2018 in addition to the positive results of the Jordan-based subsidiary, Qatrana Cement Co.

“The Jordan market is still a challenge as the supply level is almost double the demand level, which affects the price stability and increases the intensity of competition,” he added.

Arabian Cement’s share of the Western Region amounted to 22 percent as it is affected by the significantly lower demand from other markets.

“The price fluctuation in 2018 is normal in the light of the decline in demand, although the large price decline that took place is not justified, while the stability of selling prices during the current year is a positive sign of fading causes,” the CEO said.

Arabian Cement Co. reported a net profit of SAR 60.6 million for Q3 2019, compared to a net profit of SAR 14.4 million for Q3 2018, according to data compiled by Argaam.