Yanbu National Petrochemical (2290) Q2 2024 earnings summary

Executive summary

• Achieved significant turnaround in profitability for the six months ended 30 June 2024, with net income of SAR 324.3 million versus a net loss of SAR 342.3 million in the prior year period, driven by higher product prices and demand.

• Revenue for the six-month period rose to SAR 3,047.2 million, up from SAR 1,989.9 million year-over-year, reflecting recovery from the prior year’s scheduled plant turnaround and improved market conditions.

Financial highlights

• Gross profit for the six months reached SAR 560.7 million, compared to a gross loss of SAR 147.5 million in the same period last year.

• Earnings per share for the six months were SAR 0.58, compared to a loss per share of SAR 0.61 year-over-year.

• Total assets stood at SAR 14.54 billion as of 30 June 2024, with cash and cash equivalents increasing to SAR 665.9 million.

• Net cash generated from operating activities was SAR 525.4 million for the six months, up from SAR 401.7 million in the prior year.

Outlook and guidance

• Management expects continued positive impact from higher product prices and international demand, despite increased feedstock costs.