Saudi’s SAFCO Q1 Net Profit Drops 9.6%, Beat Estimates

Saudi Arabia Fertilizers Co reported a 9.6 per cent drop in first-quarter net profit on Sunday, as prices for its products fell, but the earnings still beat analyst estimates.

The company, a unit of Saudi Basic Industries Corp (SABIC), said it made a quarterly net profit of 843 million riyals ($224.8 million), compared to 932 million riyals in the corresponding period of last year.

The earnings beat the average estimate of eight analysts polled by Reuters, who forecast a net profit of 830.1 million riyals for the quarter.

SAFCO, a big producer of ammonia and urea, is dependent on global demand and prices. It attributed its fall in profits to a decrease in sales price for its products.