On 2026-05-10 08:50:44 (Saudi Time), National Industrialization Co. announced its Interim financial results for the three months ended on March 31, 2026.

Year-on-Year Performance Drivers

Sales declined 23.63% YoY to SAR 495 million primarily due to decreased sales volumes and lower average selling prices across most products. The company swung from a net profit of SAR 895.8 million in the prior year to a net loss of SAR 341.3 million, driven by reduced revenue, higher share of losses from joint ventures due to shutdown of Ethylene and Polyethylene plants for maintenance and expansion activities, and lower finance income. The comparative quarter of the previous year also benefited from a significant non-cash positive impact of SAR 1,061 million from debt restructuring for the Acrylic Complex, which did not recur in the current period.

Quarter-on-Quarter Performance Drivers

QoQ revenue declined 19.22% to 495.00 million SAR due to decreased sales volumes for most products, partially offset by improved average selling prices for certain products. Net loss narrowed significantly by 83.24% from -2,036.7 million SAR to -341.3 million SAR, primarily due to the previous quarter's impairment of non-financial assets, improved average selling prices for certain products, lower cost of sales, and higher finance income. However, this improvement was partially offset by lower sales volumes, higher zakat charges, and increased share of losses from joint ventures due to the shutdown of Ethylene and Polyethylene plants for scheduled maintenance and expansion activities.

Other Items

The auditor issued an unmodified conclusion with no additional comments or qualifications noted. Key operational developments include the extended shutdown of Saudi Ethylene & Polyethylene Company's plants effective January 2, 2026 for maintenance and expansion activities, with financial impacts expected across multiple quarters. The company executed a Share Purchase Agreement for Downstream segment subsidiaries, now classified as discontinued operations. TASNEE initiated procedures to idle Furnace One at the Ilmenite Titanium Smelter Complex as part of strategic focus optimization. Total shareholders equity decreased 27.705% to SAR 7,485.2 million, with earnings per share at -0.51 compared to 1.34 in the prior year period. The company repurchased 450,000 shares for SAR 3.9 million during the quarter, bringing cumulative repurchases since 2025 to 5,136,430 shares for SAR 53.2 million.

Original announcement:

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