Methanol Chemicals Company (2001) Q1 2026 earnings summary

Executive summary

• Reported a net loss of SAR 48.3 million for Q1 2026, with revenue declining to SAR 124.7 million, mainly due to adverse economic and geopolitical factors in the Middle East.

• Current liabilities exceeded current assets by SAR 355.9 million, and accumulated losses surpassed half of share capital, triggering regulatory requirements.

• Management is pursuing a capital reduction and a planned rights issue to restore financial health and support liquidity.

Financial highlights

• Revenue for Q1 2026 was SAR 124.7 million, down from SAR 165.6 million year-over-year.

• Gross profit dropped to SAR 2.2 million from SAR 13.1 million year-over-year.

• Operating loss widened to SAR 38.1 million from SAR 32.5 million year-over-year.

• Net loss attributable to equity holders was SAR 46.4 million, with basic and diluted loss per share at SAR 0.69 (vs. SAR 0.66 in Q1 2025).

Outlook and guidance

• Management expects ongoing liquidity challenges but is implementing cost reductions, operational improvements, and a transformation program to optimize cash flows.

• Successful completion of capital restructuring, including rights issue and capital reduction, is critical for future operations.