Riyadh Cement arranges with financial advisor for transition to Tadawul soon, upbeat for 2023: CEO

Shoeil Alayed, CEO of Riyadh Cement Co. 

Riyadh Cement Co. arranges with the financial advisor for transition from Nomu-Parallel Market to Saudi Exchange (Tadawul) after announcing the annual report to submit the necessary paperwork to Tadawul, CEO Shoeil Alayed told Argaam in an interview.  

The file was ready at the end of 2022, but some new requirements led to some delay in moving to the main market.

The lower profit was triggered by a decline in sales amid price competition that led prices to fall to low levels. The company maintained sales and prices, and suspended sales outside Riyadh as the move could lead to losses.

Riyadh Cement sells outside Riyadh when prices improve. When prices drop, it cannot compete outside Riyadh.

Cement prices were at the same average of 2021 for the company, Alayed added.

The company is upbeat for 2023 on demand of strategic projects, he elaborated, noting that demand and sales in the first quarter are better than Q4 2022.

The company’s black cement inventory stands at 745,000 tons. The white cement stock will be disclosed when financial statements are filed.

Moreover, strategic projects in Riyadh will support demand for cement amid the accelerated pace of project implementation, as some projects account for a good portion of Riyadh Cement’s sales.

Dahiyat Al Fursan project will also contribute to the sales of all cement producers in Riyadh upon commencement. There are also some future projects that are related to energy efficiency, environment and safety that will contribute to the company’s positive performance, the CEO concluded.