Saudi Basic Industries reports record profit for first half of 2008

Nicosia, July 30 : The Saudi Basic Industries Corporation ( SABIC), one of the world's largest petrochemical companies, has reported preliminary consolidated profits of SR 14.5 billion for the first six months of the year, compared with SR 12.8 billion in the corresponding period of 2007.

These profits are the highest ever reported profits in one quarter and represent an increase of 13 per cent.

SABIC Vice Chairman and Chief Executive Officer Mohamed Al-Mady said that total revenues on June 30 this year amounted to SR 83 billion, representing a growth of 54 per cent over the same period last year.

"This is primarily attributed to combining SABIC Innovative Plastics' results in SABIC's financial statements for the current period. This is in addition to the improvement of sales prices for key products, rise of the volume of production and sales by 5 and 6 percent respectively. This is despite the hike of raw material prices and the slowdown of major economies," Al-Mady said.

The Saudi government owns 70 per cent of SABIC shares and the rest are held by private investors in Saudi Arabia and the Gulf.

The company is the biggest non-oil company in the Middle East, producing chemicals, plastics, fertilizers and metals.

ANI