Argaam Report: Last Updated Date 22/01/2017
Saudi-listed cement producers reported a combined net profit of SAR 4.52 billion for fiscal year 2016, a drop of 23 percent year-on-year (YoY), hurt by lower demand and product selling prices, as well as higher energy costs, data compiled by Argaam showed.
On a quarterly basis, the sector’s combined net profit fell 47 percent YoY to SAR 772 million.
| Item | 2015 | 2016 | Change |
|---|---|---|---|
| Net Income | 6,272.37 | 4,785.54 | (23.70 %) |
A total of 13 companies reported lower earnings, dragged by Najran Cement, which posted a 55 percent YoY fall in net profit due to slowdown in the construction sector.
It was followed by Yamama Cement (-40 percent), Tabuk (-37 percent), along with Northern Region Cement and Yanbu Cement (-33 percent each).
Meanwhile, Umm al Qura Cement Co. narrowed its losses to SAR 10.8 million in the same period, compared to SAR 19.1 million in 2015, backed by the launch of commercial operations, better sales, and lower FX losses in Q4 2016.
| Company | 2015 | 2016 | Change |
|---|---|---|---|
| City Cement Co. | 241.87 | 216.31 | (10.57 %) |
| Hail Cement Co. | 113.55 | 99.65 | (12.24 %) |
| Arabian Cement Co. | 600.14 | 489.63 | (18.41 %) |
| Yamama Cement Co. | 615.21 | 357.86 | (41.83 %) |
| Qassim Cement Co. | 586.44 | 405.08 | (30.93 %) |
| Yanbu Cement Co. | 806.08 | 525.76 | (34.78 %) |
| Southern Province Cement Co. | 1,038.61 | 877.51 | (15.51 %) |
| Al Jouf Cement Co. | 76.34 | 72.07 | (5.59 %) |
| Eastern Province Cement Co. | 332.89 | 227.19 | (31.75 %) |
| Tabuk Cement Co. | 89.83 | 54.82 | (38.98 %) |
| Northern Region Cement Co. | 206.91 | 152.26 | (26.41 %) |
| Najran Cement Co. | 255.62 | 125.74 | (50.81 %) |
| Umm Al-Qura Cement Co. | (19.15) | (10.43) | 45.52 % |
| Saudi Cement Co. | 940.19 | 900.97 | (4.17 %) |
| Riyadh Cement Co. | 387.83 | 291.14 | (24.93 %) |
| Total | 6,272.37 | 4,785.54 | (23.70 %) |
| Company | 2015 - Q4 | 2016 - Q4 | Change |
|---|---|---|---|
| CITY CEMENT | 58.63 | 45.91 | (21.70 %) |
| HCC | 29.95 | 21.21 | (29.20 %) |
| ACC | 153.46 | 24.05 | (84.33 %) |
| YSCC | 152.80 | 34.81 | (77.22 %) |
| QACCO | 140.53 | 87.92 | (37.43 %) |
| YCC | 208.75 | 103.78 | (50.28 %) |
| SPCC | 300.05 | 152.77 | (49.08 %) |
| JOUF CEMENT | 5.14 | 9.70 | 88.65 % |
| EPCCO | 87.86 | 51.66 | (41.20 %) |
| TCC | 22.64 | 4.58 | (79.76 %) |
| NORTHERN CEMENT | 39.62 | 30.60 | (22.77 %) |
| NAJRAN CEMENT | 53.73 | 14.91 | (72.24 %) |
| UACC | (10.00) | 1.85 | 118.50 % |
| SAUDI CEMENT | 175.70 | 186.66 | 6.24 % |
| Total | 1,418.85 | 770.42 | (45.70 %) |
As many as 11 cement producers recorded lower profit in Q4 2016, due to a decline in sales volumes, lower demand, in addition to higher energy and fuel costs.
Jouf Cement, meanwhile, reported the biggest profit growth at 88 percent YoY to SAR 9.6 million. Saudi Cement followed with a profit increase of 6 percent YoY to SAR 187 million, after Q4-2015 was hurt by impairment losses in kilns four and five at Hofuf plant.
Umm Al-Qura swung to a net profit of SAR 1.3 million in Q4 2016, compared to a net loss of SAR 10 million in Q4 2015.
| Company | EPS (Riyal) | Close | Adjusted P/E (TTM) |
|---|---|---|---|
| Southern Province Cement Co. | 6.27 | 68.00 | 6.13 |
| Arabian Cement Co. | 4.88 | 37.63 | 6.45 |
| Saudi Cement Co. | 5.89 | 61.25 | 7.63 |
| Yanbu Cement Co. | 3.34 | 33.09 | 8.67 |
| Hail Cement Co. | 1.02 | 10.88 | 11.11 |
| Northern Region Cement Co. | 0.85 | 11.07 | 11.56 |
| Qassim Cement Co. | 4.50 | 59.75 | 12.53 |
| City Cement Co. | 1.55 | 13.04 | 12.74 |
| Eastern Province Cement Co. | 2.64 | 29.18 | 12.74 |
| Najran Cement Co. | 0.74 | 10.69 | 13.28 |
| Al Jouf Cement Co. | 0.66 | 10.69 | 16.71 |
| Yamama Cement Co. | 1.77 | 19.01 | 18.03 |
| Tabuk Cement Co. | 0.61 | 12.00 | 20.69 |
| Umm Al-Qura Cement Co. | (0.19) | 16.71 | NEG |
| P/E (TTM) | 25.06 |
| P/BV | 1.52 |
| Dividend Yield | 4.08 % |
| Sector Capitalization (M) | 48,251.19 |
| Market Cap. (M) | 3,352,077.58 |
| Return on Average Assets (TTM) | 11.06 % |
| Return on Average Equity (TTM) | 14.32 % |
Comments {{getCommentCount()}}
Be the first to comment
رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}
{{comment.DisplayName}}
{{comment.ElapsedTime}}