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Saudi Chemicals Maker Sabic Posts Profit as Demand Revives

  • Sabic earns $290 million profit in third quarter after 2Q loss
  • Chemicals market improving, though virus still a factor: CEO
Day Two of the St Petersburg International Economic Forum 2019
Photographer: Andrey Rudakov/Bloomberg
Updated on

Saudi Basic Industries Corp., the chemical maker in which Saudi Aramco holds a majority stake, returned to profit in the third quarter amid signs that demand is recovering from the impact of the coronavirus.

The company, known as Sabic, said third-quarter profit was 1.09 billion riyals ($290 million) compared with 740 million riyals in the same period last year. Profit rose mainly due to the reversal of 690 million riyals of impairments associated with Clariant AG, in which Sabic holds a 31.5% stake. Revenue in the three months to the end of September fell 11% to 29.3 billion riyals.