Petrochem Announces Changing Accounting Treatment for Invested Projects

The National Petrochemical Company “Petrochem” announced on Sunday changing the accounting treatment of invested projects, as Petrochem, starting from the lists of the third quarter of 2021, (referred to previously in the announcement of the results of the third quarter of 2021), stopped consolidating the financial statements of those projects as (“ jointly managed projects”) and treated according to the equity method, indicating that the financial items (sales and gross profit) of the investee companies do not appear in Petrochem’s statement of profit or loss and other comprehensive income.

The company said in a statement on Sunday on Tadawul that this change did not affect in any way the shareholders’ equity, net income related to the company’s shareholders, or the return on share.

This comes in reference to the announcement of the National Petrochemical Company regarding the preliminary financial results for the period ending on 31.12.2021 (12 months).