Saudi’s Sipchem Q1 Net Profit Rises 6.5%

Saudi International Petrochemical Co (Sipchem) missed analysts’ forecasts by a wide margin on Thursday after unplanned shutdowns limited its first-quarter net profit increase to 6.5 per cent.

Sipchem made a profit of 68.7 million Saudi riyals ($18.3 million) in the three months to March 31, up from 64.5 million riyals in the prior-year period, according to a bourse filing.

Four analysts polled by Reuters on average forecast Sipchem’s quarterly profit would be 159.4 million riyals.

The profit increase was driven by higher product prices, the firm said, but largely offset by reduced sales due to unplanned shutdowns of methanol and carbon monoxide plants which also forced shutdowns of some other facilities.