Saudi Kayan Swings To Q1 Net Loss As Shutdown Hits Production

Saudi Kayan Petrochemical Co swung to a net loss in the first-quarter as prices, production and sales all declined, the company said on Thursday.

Saudi Kayan, an affiliate of Saudi Basic Industries Corporation (SABIC) made a net loss of SAR591.6 million ($157.8 million) in the first three months to March 31, it said in a bourse statement. This compares with a net profit of SAR9.9 million in the same period in 2014.

Three analysts polled by Reuters on average forecast Kayan would make a quarterly loss of SAR293.5 million.

Lower production was partly behind the larger-than-expected loss as its olefins plant was shut for maintenance. Lower product prices also hit revenue. Olefins is a form of petrochemical.