Saudi Eastern Province Cement net profit down

Saudi Eastern Province Cement net profit down
Published: 14 January 2010

Saudi cement producer Eastern Province Cement Company (EPC) said yesterday it booked a net profit of SAR350m (USD 93.3m) for 2009, down from SAR434m a year ago.

The earnings per share (EPS) stood at SAR 4.07, down from SAR 5.05.

The decrease in the company’s bottom-line results was attributed to lower sales prices due to tough competition, coupled with a rise in operating expenses after EPC stopped production at one of its kilns in an effort to lower stockpiles.

The operating profit stood at SAR 368m for 2009, compared with SAR 425m a year earlier.

For the fourth quarter of 2009, the company posted a 33.3% year-on-year drop in net profit to SAR 50m.