Chemanol Profits Increases to SR92 mln during 2Q, up by 53%

The net profit after zakat and tax for the methanol chemicals company rose to SR92 million during the second quarter, compared to SR60 million during the same quarter of the previous year, at a rate of 53%.
This came after announcing on Monday the consolidated interim condensed financial results for the period ending on June 30, 2022 (6 months).
The operational profit amounted to SR103 million during the second quarter, compared to SR71 million during the same quarter of the previous year, an increase of 44%.
The total profit amounted to SR147 million during the second quarter, compared to SR99 million during the same quarter of the previous year, a growth of 49%.
The net profit after zakat and tax during the current period amounted to SR195 million, compared to SR90 million during the same period of the previous year, an increase of 116%.
Profits per share during the current period amounted to SR1.89, compared to SR1.33 during the same period of the previous year.
The reason of the increase in the net profit of the Company during the current quarter compared to the same quarter of the last year is primarily due to an increase in the average selling prices and geographical expansion of company’s sales.
The reason of the decrease in the net profit of the Company during the current quarter compared to the previous quarter is primarily due to the increase in raw materials and supply chain cost.
The reason of the increase in the net profit of the Company during the current period compared to the same period of the last year is primarily due to an increase in the average selling prices and geographical expansion of company’s sales.
The estimated financial results for the period ended 30 June 2022 have been prepared by the management of the Company and have not yet been reviewed or audited by the external auditor.
Certain prior period figures have been reclassified to conform to current period’s presentation.
Profits per share for the period ended June 30, 2021, has been calculated retroactively as a result of a change in the number of shares after reducing the Company’s capital in accordance with the Extraordinary General Assembly resolution dated 28/06/2021, and accordingly the number of the Company’s shares has been reduced from 120,600,000 to 67,450,863 shares.
This comes with reference to the Company announcement dated on 13/07/2022 regarding Obtaining a Shariah-Compliant Murabaha Loans to finance the Methanol plant expansion project and settle all the existing loans, the financial impact will be expected to start from third Quarter of this financial year will result in a reduction in annual finance costs comparing to old loans approximately SR8.5 million annually.