|Al Yamamah posts USD 5.72 mln loss in FY 2017-18
|Saudi Arabia - 2018 December 30
Saudi Arabia-based Al Yamamah Steel Industries Co reported swinging to loss during its annual financial year ending on September 30 2018, against posting profits in the year-ago period.
Al Yamamah Steel incurred a loss of SAR 21.525 mln (USD 5.72 mln), compared to SAR 113.048 mln net profit in FY 2016-17.
Company's sales revenue also decreased by 29.6 pct YoY to SAR 879.528 mln (USD 234 mln).
The main reason for this year's net loss was the drop in demand due to prevailing economic conditions, slow project implementation and intense competition, resulting in a 32pct drop in sales to the electricity sector and a 40pct drop in sales to the construction sector, according to the company's statement.
Al Yamamah Steel is engaged in production and selling of welded tubes, sheets, rebars and three dimension space structures to serve buildings and infra structure sector. Company also manufacture galvanized steel lighting and distribution poles, high mast and galvanized steel lattice towers to serve electrical and distribution sector. The company has production facilities at Jeddah, Dammam and Yanbu.