SAFCO’s net profit up 43% in 9M 2018

24/10/2018 Argaam Exclusive

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Saudi Arabian Fertilizer Co. (SAFCO) reported a net profit of SAR 1.17 billion in the first nine months of 2018, a 43.34 percent year-on-year (YoY) increase attributed to higher sales volumes as well as improved prices.



Financials (M)

Item 9m 2017 9m 2018 Change‬
Revenues 2,143.41 2,769.73 29.2 %
Gross Income 1,050.56 1,442.10 37.3 %
Operating Income 774.00 1,118.09 44.5 %
Net Income 816.12 1,169.90 43.3 %
Average Shares 416.67 416.67 -
EPS (Riyals) 1.96 2.81 43.3 %

Profit for third quarter more than doubled YoY to SAR 522.24 million, driven by higher sales volumes, increased selling prices, in addition to higher profit share from Al-Baytar Co.

 

On a sequential basis, profit for the period jumped 27.23 percent.



Current Quarter Comparison (M)

Compared With The
Item Q3 2017 Q3 2018 Change‬
Revenues 617.28 1,008.66 63.4 %
Gross Income 268.55 584.54 117.7 %
Operating Income 175.03 481.23 174.9 %
Net Income 188.42 522.24 177.2 %
Average Shares 416.67 416.67 -
EPS (Riyals) 0.45 1.25 177.2 %


Financial results (Million)

Period Revenues Change Gross Income Change Operating Income Change
Q1 2009 739.47 (10.4 %) 452.74 (29.7 %) 436.84 (29.7 %)
Q2 2009 685.74 (49.1 %) 456.16 (58.6 %) 437.90 (59.0 %)
Q3 2009 714.39 (67.6 %) 450.72 (76.5 %) 432.43 (76.9 %)
Q4 2009 601.11 (38.4 %) 358.75 (45.6 %) 350.45 (45.9 %)
Q1 2010 863.79 16.8 % 642.97 42.0 % 618.12 41.5 %
Q2 2010 732.66 6.8 % 578.93 26.9 % 565.63 29.2 %
Q3 2010 890.73 24.7 % 549.99 22.0 % 536.27 24.0 %
Q4 2010 1,302.29 116.6 % 918.08 155.9 % 901.91 157.4 %
Q1 2011 1,037.85 20.1 % 775.20 20.6 % 757.37 22.5 %
Q2 2011 1,129.51 54.2 % 778.07 34.4 % 757.22 33.9 %
Q3 2011 1,378.89 54.8 % 1,083.97 97.1 % 1,061.82 98.0 %
Q4 2011 1,504.99 15.6 % 1,128.01 22.9 % 1,097.70 21.7 %
Q1 2012 1,061.50 2.3 % 753.60 (2.8 %) 735.02 (3.0 %)
Q2 2012 1,115.96 (1.2 %) 743.75 (4.4 %) 725.94 (4.1 %)
Q3 2012 1,398.10 1.4 % 1,063.56 (1.9 %) 1,039.69 (2.1 %)
Q4 2012 1,404.84 (6.7 %) 1,047.40 (7.1 %) 1,020.92 (7.0 %)
Q1 2013 1,177.76 11.0 % 852.82 13.2 % 830.20 12.9 %
Q2 2013 982.88 (11.9 %) 651.93 (12.3 %) 633.13 (12.8 %)
Q3 2013 1,071.88 (23.3 %) 695.40 (34.6 %) 675.82 (35.0 %)
Q4 2013 1,007.88 (28.3 %) 678.47 (35.2 %) 658.33 (35.5 %)
Q1 2014 1,178.36 0.1 % 819.80 (3.9 %) 797.22 (4.0 %)
Q2 2014 935.77 (4.8 %) 602.24 (7.6 %) 578.75 (8.6 %)
Q3 2014 1,248.62 16.5 % 890.35 28.0 % 865.60 28.1 %
Q4 2014 1,093.39 8.5 % 754.48 11.2 % 727.87 10.6 %
Q1 2015 962.42 (18.3 %) 603.11 (26.4 %) 582.85 (26.9 %)
Q2 2015 883.75 (5.6 %) 553.99 (8.0 %) 537.33 (7.2 %)
Q3 2015 887.43 (28.9 %) 567.64 (36.2 %) 551.33 (36.3 %)
Q4 2015 813.67 (25.6 %) 360.31 (52.2 %) 342.31 (53.0 %)
Q1 2016 691.23 (28.2 %) 354.12 (41.3 %) 258.19 (55.7 %)
Q2 2016 709.85 (19.7 %) 329.53 (40.5 %) 261.31 (51.4 %)
Q3 2016 689.53 (22.3 %) 293.49 (48.3 %) 202.67 (63.2 %)
Q4 2016 765.32 (5.9 %) 372.09 3.3 % 264.52 (22.7 %)
Q1 2017 846.65 22.5 % 479.52 35.4 % 394.56 52.8 %
Q2 2017 679.48 (4.3 %) 288.65 (12.4 %) 204.41 (21.8 %)
Q3 2017 617.28 (10.5 %) 268.55 (8.5 %) 175.03 (13.6 %)
Q4 2017 616.05 (19.5 %) 148.65 (60.1 %) 50.80 (80.8 %)
Q1 2018 810.76 (4.2 %) 358.32 (25.3 %) 241.58 (38.8 %)
Q2 2018 950.31 39.9 % 499.24 73.0 % 395.28 93.4 %
Q3 2018 1,008.66 63.4 % 584.54 117.7 % 481.23 174.9 %


Profit Performance (Million)

Period Net Income Change EPS(Riyal) Extraordinary Income/Expense Net Profit Before Unusual Items EPS Before XO Items
Q1 2009 524.53 (27.5 %) 1.26 26.17 498.36 1.20
Q2 2009 480.35 (59.7 %) 1.15 1.68 478.67 1.15
Q3 2009 464.15 (74.5 %) 1.11 22.05 442.10 1.06
Q4 2009 335.26 (37.4 %) 0.80 21.15 314.10 0.75
Q1 2010 698.26 33.1 % 1.68 - 698.26 1.68
Q2 2010 907.20 88.9 % 2.18 302.53 604.68 1.45
Q3 2010 603.82 30.1 % 1.45 - 603.82 1.45
Q4 2010 1,025.34 205.8 % 2.46 - 1,025.83 2.46
Q1 2011 832.63 19.2 % 2.00 - 832.63 2.00
Q2 2011 789.93 (12.9 %) 1.90 - 789.93 1.90
Q3 2011 1,210.58 100.5 % 2.91 - 1,210.58 2.91
Q4 2011 1,276.63 24.5 % 3.06 - 1,276.63 3.06
Q1 2012 786.91 (5.5 %) 1.89 - 786.91 1.89
Q2 2012 783.93 (0.8 %) 1.88 - 783.93 1.88
Q3 2012 1,149.00 (5.1 %) 2.76 - 1,149.00 2.76
Q4 2012 1,146.38 (10.2 %) 2.75 - 1,146.38 2.75
Q1 2013 931.59 18.4 % 2.24 - 931.59 2.24
Q2 2013 692.88 (11.6 %) 1.66 - 692.88 1.66
Q3 2013 734.01 (36.1 %) 1.76 - 734.01 1.76
Q4 2013 802.00 (30.0 %) 1.92 44.00 798.57 1.92
Q1 2014 842.50 (9.6 %) 2.02 - 842.50 2.02
Q2 2014 638.99 (7.8 %) 1.53 - 638.99 1.53
Q3 2014 913.37 24.4 % 2.19 - 913.37 2.19
Q4 2014 779.18 (2.8 %) 1.87 37.73 735.90 1.77
Q1 2015 589.98 (30.0 %) 1.42 - 589.98 1.42
Q2 2015 595.76 (6.8 %) 1.43 - 595.76 1.43
Q3 2015 566.15 (38.0 %) 1.36 - 566.15 1.36
Q4 2015 378.55 (51.4 %) 0.91 - 378.55 0.91
Q1 2016 279.01 (52.7 %) 0.67 - 279.01 0.67
Q2 2016 302.32 (49.3 %) 0.73 - 302.32 0.73
Q3 2016 186.22 (67.1 %) 0.45 - 186.22 0.45
Q4 2016 268.40 (29.1 %) 0.64 - 268.40 0.64
Q1 2017 423.36 51.7 % 1.02 - 423.36 1.02
Q2 2017 204.34 (32.4 %) 0.49 - 204.34 0.49
Q3 2017 188.42 1.2 % 0.45 - 188.42 0.45
Q4 2017 62.51 (76.7 %) 0.15 - 62.51 0.15
Q1 2018 237.20 (44.0 %) 0.57 - 237.20 0.57
Q2 2018 410.46 100.9 % 0.99 - 410.46 0.99
Q3 2018 522.24 177.2 % 1.25 - 522.24 1.25

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2009 78.51 % 82.40 % 81.50 %
Q2 2009 75.78 % 80.50 % 77.36 %
Q3 2009 64.81 % 72.13 % 70.04 %
Q4 2009 62.70 % 68.93 % 63.24 %
Q1 2010 66.62 % 72.45 % 67.47 %
Q2 2010 69.76 % 75.51 % 70.71 %
Q3 2010 68.99 % 74.50 % 71.91 %
Q4 2010 70.99 % 77.07 % 77.39 %
Q1 2011 71.20 % 77.27 % 77.38 %
Q2 2011 69.29 % 74.95 % 74.59 %
Q3 2011 73.33 % 78.93 % 79.59 %
Q4 2011 74.54 % 78.96 % 81.36 %
Q1 2012 73.77 % 78.19 % 80.08 %
Q2 2012 73.29 % 77.86 % 80.18 %
Q3 2012 72.61 % 77.33 % 78.66 %
Q4 2012 72.45 % 77.69 % 77.63 %
Q1 2013 72.74 % 77.97 % 78.70 %
Q2 2013 72.84 % 78.17 % 78.97 %
Q3 2013 70.03 % 76.05 % 75.58 %
Q4 2013 67.89 % 74.79 % 74.45 %
Q1 2014 67.10 % 73.89 % 72.34 %
Q2 2014 66.67 % 73.41 % 71.87 %
Q3 2014 68.43 % 74.29 % 73.07 %
Q4 2014 68.82 % 74.90 % 70.26 %
Q1 2015 67.22 % 73.44 % 67.88 %
Q2 2015 66.90 % 73.61 % 67.69 %
Q3 2015 64.78 % 72.83 % 65.01 %
Q4 2015 58.78 % 68.07 % 60.06 %
Q1 2016 56.04 % 64.77 % 55.54 %
Q2 2016 51.95 % 63.60 % 49.19 %
Q3 2016 46.05 % 52.74 % 39.46 %
Q4 2016 47.24 % 50.45 % 36.27 %
Q1 2017 48.97 % 51.41 % 39.20 %
Q2 2017 48.10 % 46.97 % 36.31 %
Q3 2017 48.43 % 50.96 % 37.29 %
Q4 2017 42.96 % 47.55 % 31.84 %
Q1 2018 39.07 % 44.19 % 25.42 %
Q2 2018 42.57 % 46.45 % 30.01 %
Q3 2018 46.98 % 50.76 % 36.40 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2009 416.67 9.78 10.30 16.44
Q2 2009 416.67 8.07 8.55 17.76
Q3 2009 416.67 4.81 5.24 16.02
Q4 2009 416.67 4.33 4.16 16.84
Q1 2010 416.67 4.75 4.64 14.44
Q2 2010 416.67 5.77 4.94 13.00
Q3 2010 416.67 6.11 5.33 14.46
Q4 2010 416.67 7.76 7.04 17.12
Q1 2011 416.67 8.09 7.36 19.13
Q2 2011 416.67 7.80 7.81 17.41
Q3 2011 416.67 9.26 9.26 16.67
Q4 2011 416.67 9.86 9.86 19.70
Q1 2012 416.67 9.75 9.75 21.77
Q2 2012 416.67 9.74 9.74 19.27
Q3 2012 416.67 9.59 9.59 18.45
Q4 2012 416.67 9.28 9.28 21.26
Q1 2013 416.67 9.63 9.63 23.62
Q2 2013 416.67 9.41 9.41 20.54
Q3 2013 416.67 8.41 8.41 17.66
Q4 2013 416.67 7.59 7.58 19.85
Q1 2014 416.67 7.37 7.36 17.00
Q2 2014 416.67 7.24 7.23 15.34
Q3 2014 416.67 7.67 7.66 17.55
Q4 2014 416.67 7.62 7.51 18.87
Q1 2015 416.67 7.01 6.91 20.16
Q2 2015 416.67 6.91 6.80 19.46
Q3 2015 416.67 6.07 5.97 17.57
Q4 2015 416.67 5.11 5.11 18.23
Q1 2016 416.67 4.37 4.37 16.07
Q2 2016 416.67 3.66 3.66 15.35
Q3 2016 416.67 2.75 2.75 15.81
Q4 2016 416.67 2.49 2.49 16.00
Q1 2017 416.67 2.83 2.83 16.09
Q2 2017 416.67 2.60 2.60 16.55
Q3 2017 416.67 2.60 2.60 16.31
Q4 2017 416.67 2.11 2.11 16.47
Q1 2018 416.67 1.66 1.66 16.40
Q2 2018 416.67 2.16 2.16 16.42
Q3 2018 416.67 2.96 2.96 17.59

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2009 6.43 6.11 3.83
Q2 2009 9.64 9.10 4.38
Q3 2009 17.81 16.36 5.35
Q4 2009 19.15 19.94 4.93
Q1 2010 21.19 21.69 6.97
Q2 2010 15.26 17.82 6.78
Q3 2010 16.16 18.52 6.83
Q4 2010 14.11 15.56 6.40
Q1 2011 15.90 17.46 6.72
Q2 2011 16.60 16.60 7.44
Q3 2011 13.47 13.47 7.49
Q4 2011 12.23 12.23 6.12
Q1 2012 13.39 13.39 6.00
Q2 2012 11.97 11.97 6.05
Q3 2012 13.33 13.33 6.93
Q4 2012 15.00 15.00 6.55
Q1 2013 15.07 15.07 6.14
Q2 2013 13.99 13.99 6.41
Q3 2013 16.05 16.05 7.65
Q4 2013 18.86 18.88 7.21
Q1 2014 19.84 19.86 8.60
Q2 2014 20.27 20.29 9.57
Q3 2014 19.51 19.53 8.53
Q4 2014 16.90 17.13 6.82
Q1 2015 19.54 19.83 6.79
Q2 2015 19.52 19.82 6.93
Q3 2015 17.94 18.25 6.21
Q4 2015 18.36 18.36 5.15
Q1 2016 17.34 17.34 4.71
Q2 2016 18.51 18.51 4.42
Q3 2016 27.52 27.52 4.79
Q4 2016 34.30 34.30 5.33
Q1 2017 27.66 27.66 4.87
Q2 2017 27.66 27.66 4.34
Q3 2017 26.89 26.89 4.29
Q4 2017 35.27 35.27 4.52
Q1 2018 48.81 48.81 4.95
Q2 2018 32.69 32.69 4.29
Q3 2018 30.94 30.94 5.20

Analysts Estimates (Million)

Item Q3 2018 (e) Q3 2018 (a) Change‬
Average 503.05 522.24 3.82 %

Estimates vs Actual (Million)

Item Q3 2018 (e) Q3 2018 (a) Change
SNB Capital 539.00 522.24 (3.1) %
OSOOL AND BAKHEET 550.00 522.24 (5.0) %
Sico 497.00 522.24 5.1 %
Al Rajhi Capital 488.00 522.24 7.0 %
AlJazira Capital 473.30 522.24 10.3 %
Riyad Capital 471.00 522.24 10.9 %

Current
Market Cap (M Riyal) 55,506.26
Enterprise Value (EV) (M) 45,545.59
Shares Outstanding ((M)) 476.04
EPS ( Riyal) (TTM) 7.51
Book Value (BV) ( Riyal) 36.86
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) 14.98
P/E (TTM) 15.53
Price/book 3.16
Return on Average Assets (%) (TTM) 14.3
Return on Average Equity (%) (TTM) 21.1

Share Price

116.60
(1.00) (0.85 %)

SABIC Agri-Nutrients Co. (SABIC AGRI-NUTRIENTS)


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