Saudi Arabian Mining Company (Maaden) (1211) Q4 2024 earnings summary

Executive summary

• Achieved record production and second-highest full-year revenue at SAR 32.5 billion, up 11% year-over-year, with 34% EBITDA growth and 82% net profit increase.

• Net profit attributable to shareholders rose 82% year-over-year to SAR 2.87 billion, despite a one-off non-cash impairment charge of SAR 1.44 billion.

• Set new records in phosphate, gold, and aluminum production, surpassing guidance and benefiting from high commodity prices.

• Expanded international presence and advanced exploration, including significant gold and copper discoveries in the Arabian Shield.

• Strengthened shareholding structure through acquisitions in phosphate and aluminum, including Mosaic's 25% stake in MWSPC and SABIC's 20% stake in Alba.

Financial highlights

• Revenue rose 11% year-over-year to SAR 32.5 billion; EBITDA grew 34% to SAR 12.4 billion.

• Adjusted net profit reached SAR 4.32 billion after non-cash impairment charges totaling SAR 1.4 billion.

• Operating cash flow exceeded SAR 11 billion, with a year-end cash position of SAR 15.3 billion.

• Net debt reduced by 4% to SAR 20.8 billion; net debt/EBITDA improved to 1.8x, below the 2x-3x target range.

• Received SAR 563 million insurance claim and recorded one-off charges, including SAR 167 million ECL provision and SAR 103 million inventory obsolescence.

Outlook and guidance

• 2025 guidance expects increased production volumes across all business units and continued strong fundamentals.

• CapEx for 2025 set at SAR 8.5–10.55 billion, with 70%-75% allocated to growth, mainly in phosphate and aluminum.

• Phosphate Three project underway, with phase I adding 1.5 million tons annual capacity by 2027; phase II to follow.

• Gold production guidance remains stable due to ongoing pushback at Ad Duwayhi mine, expected to normalize post-2025.

• Near-term priorities include completing the Alcoa transaction, advancing Phosphate 3 Phase 1, and further exploration.