Safco Second-Quarter Profit Drops 1% on Lower Sales

July 14 (Bloomberg) -- Saudi Arabian Fertilizer Co., a unit of Saudi Basic Industries Corp., posted a 1 percent decline in second-quarter profit, missing analysts’ estimates.

Net income dropped to 784 million riyals from 790 million riyals a year earlier, the company said in a statement to the Saudi stock market today. The mean estimate of 10 analysts was for a profit of 961 million riyals, according to data compiled by Bloomberg.

The drop was because of “lower of sales volume due to lower production volumes as a result of turnaround of some plants,” the Jubail-based company said.

Saudi Arabian Fertilizer, also known as Safco, is the second unit of Saudi Basic Industries to report a drop in profit. Yanbu National Petrochemical Co. (YANSAB) posted a 33 percent decline in second-quarter profit last week. Saudi Basic Industries (SABIC), also known as Sabic, is the world’s biggest petrochemicals maker.

To contact the reporter on this story: Inal Ersan in Dubai at iersan@bloomberg.net

To contact the editor responsible for this story: Shaji Mathew at shajimathew@bloomberg.net

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.