NAMA Chemicals (SFM Listed under the symbol 2210), one of the leading Petrochemical producers in the region, has announced its financial results for 2009 year ended 31/12/2009, indicating a loss reduction rate by 26% from the year before, which pertains to SR 49.8 Million in 2009 Vs. SR 67.5 Million in 2008.
The company has recorded total sales at SR 397 Million in 2009, compared to SR 621 Million in 2008. This decrease of 36% was due to the negative impact of the global recession, which has resulted in a drop of Epoxy business by 44%, and an 8% decrease in the caustic business.
NAMA's gross profit in 2009 was recorded at SR 11 Million, compared to SR 69 Million in the previous year, while operating loss was recorded at SR 44.5 Million compared to SR 13.31 Million in 2008.
Abdulmohsen Al-Ogaili, CEO of NAMA states:
"Despite the difficult conditions imposed by the global crisis on most economies around the world, NAMA continued meeting its commitments towards its worldwide clients and has successfully attracted new customers, which gave us an added responsibility to meet those requirements regardless of any economic difficulty”
He also added: “We have managed to continue completing our projects as planned in 2009, while meeting our debt commitments. Today, NAMA is focused on enhancing profitability through projects' investments, which will enable us to strengthen our market position and increase our shareholders' profitability".
NAMA has achieved several milestones during 2009; the most important achievement was the successful completion of the trial run for all "Hassad" units, with different production capacities, which have resulted in increasing the capital of Al-Jubail Chemical Industries (JANA), an affiliate of NAMA, from SR 516 Million to SR 666 Million.
This capital increase has enabled JANA to implement its plans successfully, including the execution of the Epoxy plant expansion project to double production capacity by 100%, and the completion of all financing requirements after signing a financing agreement with the "Saudi Industrial Development Fund" and one of Saudi Arabia's local banks.