Southern Cement H1 2023 profit drops 55% to SAR 68 mln; Q2 at SAR 19 mln

09/08/2023 Argaam Exclusive

View other reports

Southern Province Cement Co. reported a net profit of SAR 68 million in H1 2023, a fall of 55% from SAR 149.8 million a year earlier.

The cement producer reported a decline in sales revenue amid weak local demand, lower selling prices and higher cost of goods sold.

Financials (M)

Item	6m 2022	6m 2023	Change‬
Revenues	563.91	525.85	(6.7 %)
Gross Income	162.45	107.39	(33.9 %)
Operating Income	133.53	76.75	(42.5 %)
Net Income	149.79	67.92	(54.7 %)
Average Shares	140.00	140.00	-
EPS (Riyals)	1.07	0.49	(54.7 %)

The cement producer reported a 69% slump in Q2 2023 net profit to SAR 19 million, compared to SAR 60.52 million in Q2 2022, hurt by lower revenue amid subdued demand and selling prices.

The net profit also fell by 61.1% from SAR 48.89 million in Q1 2023, due to a decline in sales revenue and demand.

Current Quarter Comparison (M)

Compared With The

Item	Q2 2022	Q2 2023	Change‬
Revenues	233.94	226.01	(3.4 %)
Gross Income	56.11	36.60	(34.8 %)
Operating Income	42.86	23.31	(45.6 %)
Net Income	60.52	19.04	(68.5 %)
Average Shares	140.00	140.00	-
EPS (Riyals)	0.43	0.14	(68.5 %)

Item	Q1 2023	Q2 2023	Change‬
Revenues	299.85	226.01	(24.6 %)
Gross Income	70.97	36.60	(48.4 %)
Operating Income	53.45	23.31	(56.4 %)
Net Income	48.89	19.04	(61.1 %)
Average Shares	140.00	140.00	-
EPS (Riyals)	0.35	0.14	(61.1 %)

Shareholders’ equity, after minority interest, increased to SAR 3.20 billion as of June 30, 2023, from SAR 3.15 billion a year earlier.

View more financial results

Financial results (Million)

Period	Revenues	Change	Gross Income	Change	Net Income	Change	EPS(Riyal)
Q1 2014	495.41	1.8 %	239.68	(15.4 %)	221.01	(17.8 %)	1.58
Q2 2014	516.76	1.5 %	304.39	(1.2 %)	294.20	(1.0 %)	2.10
Q3 2014	377.67	2.6 %	186.58	(7.1 %)	284.92	52.7 %	2.04
Q4 2014	488.51	18.8 %	264.49	19.8 %	245.30	(3.2 %)	1.75
2014	1,878.35	5.8 %	995.14	(1.7 %)	1,045.42	3.9 %	7.47
Q1 2015	558.97	12.8 %	290.50	21.2 %	266.00	20.4 %	1.90
Q2 2015	531.85	2.9 %	281.81	(7.4 %)	270.35	(8.1 %)	1.93
Q3 2015	418.90	10.9 %	215.84	15.7 %	202.21	(29.0 %)	1.44
Q4 2015	537.56	10.0 %	321.20	21.4 %	300.05	22.3 %	2.14
2015	2,047.27	9.0 %	1,109.36	11.5 %	1,038.61	(0.7 %)	7.42
Q1 2016	549.33	(1.7 %)	302.56	4.2 %	283.20	6.5 %	2.02
Q2 2016	492.64	(7.4 %)	266.67	(5.4 %)	267.98	(0.9 %)	1.91
Q3 2016	379.76	(9.3 %)	183.92	(14.8 %)	173.56	(14.2 %)	1.24
Q4 2016	354.32	(34.1 %)	177.55	(44.7 %)	152.77	(49.1 %)	1.09
2016	1,776.06	(13.2 %)	930.70	(16.1 %)	877.51	(15.5 %)	6.27
Q1 2017	303.39	(44.8 %)	122.13	(59.6 %)	104.57	(63.1 %)	0.75
Q2 2017	242.75	(50.7 %)	99.96	(62.5 %)	94.94	(64.6 %)	0.68
Q3 2017	215.60	(43.2 %)	65.02	(64.6 %)	57.16	(67.1 %)	0.41
Q4 2017	302.08	(14.7 %)	136.59	(23.1 %)	113.56	(25.7 %)	0.81
2017	1,063.82	(40.1 %)	423.70	(54.5 %)	370.22	(57.8 %)	2.64
Q1 2018	273.84	(9.7 %)	121.96	(0.1 %)	101.74	(2.7 %)	0.73
Q2 2018	177.84	(26.7 %)	50.88	(49.1 %)	36.05	(62.0 %)	0.26
Q3 2018	196.07	(9.1 %)	18.21	(72.0 %)	5.37	(90.6 %)	0.04
Q4 2018	239.97	(20.6 %)	70.65	(48.3 %)	51.62	(54.5 %)	0.37
2018	887.72	(16.6 %)	261.69	(38.2 %)	194.78	(47.4 %)	1.39
Q1 2019	341.95	24.9 %	137.34	12.6 %	119.87	17.8 %	0.86
Q2 2019	275.65	55.0 %	113.07	122.3 %	90.77	151.8 %	0.65
Q3 2019	286.01	45.9 %	114.15	526.9 %	90.29	1581.4 %	0.64
Q4 2019	396.67	65.3 %	191.26	170.7 %	161.78	213.4 %	1.16
2019	1,300.29	46.5 %	555.82	112.4 %	462.71	137.6 %	3.31
Q1 2020	457.21	33.7 %	192.67	40.3 %	183.48	53.1 %	1.31
Q2 2020	339.34	23.1 %	152.40	34.8 %	134.88	48.6 %	0.96
Q3 2020	425.77	48.9 %	170.36	49.2 %	149.77	65.9 %	1.07
Q4 2020	430.79	8.6 %	199.43	4.3 %	141.25	(12.7 %)	1.01
2020	1,653.11	27.1 %	714.85	28.6 %	609.38	31.7 %	4.35
Q1 2021	439.34	(3.9 %)	184.15	(4.4 %)	169.14	(7.8 %)	1.21
Q2 2021	287.33	(15.3 %)	103.27	(32.2 %)	87.47	(35.2 %)	0.62
Q3 2021	284.22	(33.2 %)	98.58	(42.1 %)	74.12	(50.5 %)	0.53
Q4 2021	328.46	(23.8 %)	119.40	(40.1 %)	97.91	(30.7 %)	0.70
2021	1,339.35	(19.0 %)	505.41	(29.3 %)	429.15	(29.6 %)	3.07
Q1 2022	329.97	(24.9 %)	106.34	(42.3 %)	89.27	(47.2 %)	0.64
Q2 2022	233.94	(18.6 %)	56.11	(45.7 %)	60.52	(30.8 %)	0.43
Q3 2022	323.33	13.8 %	105.75	7.3 %	88.62	19.6 %	0.63
Q4 2022	335.17	2.0 %	92.85	(22.2 %)	62.30	(36.4 %)	0.45
2022	1,222.41	(8.7 %)	361.06	(28.6 %)	300.71	(29.9 %)	2.15
Q1 2023	299.85	(9.1 %)	70.97	(33.3 %)	48.89	(45.2 %)	0.35
Q2 2023	226.01	(3.4 %)	36.60	(34.8 %)	19.04	(68.5 %)	0.14

Period	Revenues	Change	Gross Income	Change	Net Income	Change	EPS(Riyal)
2013	1,775.14	(1.7 %)	1,012.85	(3.6 %)	1,006.09	0.6 %	7.19
2014	1,878.35	5.8 %	995.14	(1.7 %)	1,045.42	3.9 %	7.47
2015	2,047.27	9.0 %	1,109.36	11.5 %	1,038.61	(0.7 %)	7.42
2016	1,776.06	(13.2 %)	930.70	(16.1 %)	877.51	(15.5 %)	6.27
2017	1,063.82	(40.1 %)	423.70	(54.5 %)	370.22	(57.8 %)	2.64
2018	887.72	(16.6 %)	261.69	(38.2 %)	194.78	(47.4 %)	1.39
2019	1,300.29	46.5 %	555.82	112.4 %	462.71	137.6 %	3.31
2020	1,653.11	27.1 %	714.85	28.6 %	609.38	31.7 %	4.35
2021	1,339.35	(19.0 %)	505.41	(29.3 %)	429.15	(29.6 %)	3.07
2022	1,222.41	(8.7 %)	361.06	(28.6 %)	300.71	(29.9 %)	2.15

Profitability

Period	Gross Margin	OIBDA Margin	Net Margin Before Unusual Items
Q1 2014	54.34 %	60.22 %	51.44 %
Q2 2014	53.90 %	60.32 %	51.05 %
Q3 2014	52.82 %	58.65 %	49.99 %
Q4 2014	52.98 %	59.17 %	49.67 %
2014	52.98 %	59.17 %	49.67 %
Q1 2015	53.86 %	59.73 %	50.36 %
Q2 2015	52.29 %	58.10 %	48.75 %
Q3 2015	52.68 %	58.47 %	49.24 %
Q4 2015	54.19 %	60.01 %	51.04 %
2015	54.19 %	60.01 %	51.04 %
Q1 2016	55.04 %	60.98 %	52.12 %
Q2 2016	55.36 %	61.33 %	53.03 %
Q3 2016	54.83 %	62.04 %	52.63 %
Q4 2016	52.40 %	60.56 %	49.41 %
2016	52.40 %	60.56 %	49.41 %
Q1 2017	49.03 %	58.65 %	45.67 %
Q2 2017	45.58 %	57.62 %	41.07 %
Q3 2017	41.63 %	54.16 %	36.69 %
Q4 2017	39.83 %	52.53 %	34.80 %
2017	39.83 %	52.64 %	34.80 %
Q1 2018	40.95 %	54.44 %	35.52 %
Q2 2018	38.63 %	52.73 %	31.83 %
Q3 2018	34.49 %	48.64 %	27.03 %
Q4 2018	29.48 %	45.20 %	21.94 %
2018	29.48 %	45.20 %	21.94 %
Q1 2019	28.99 %	44.26 %	22.28 %
Q2 2019	32.20 %	45.91 %	25.40 %
Q3 2019	38.06 %	50.71 %	31.38 %
Q4 2019	42.75 %	53.65 %	36.99 %
2019	42.75 %	53.65 %	36.99 %
Q1 2020	43.17 %	53.24 %	38.47 %
Q2 2020	43.97 %	54.22 %	39.80 %
Q3 2020	43.65 %	53.26 %	39.65 %
Q4 2020	43.24 %	52.40 %	39.04 %
2020	43.24 %	52.40 %	39.04 %
Q1 2021	43.19 %	52.27 %	38.59 %
Q2 2021	41.51 %	50.71 %	36.86 %
Q3 2021	40.61 %	50.63 %	35.93 %
Q4 2021	37.74 %	49.16 %	32.75 %
2021	37.74 %	49.16 %	32.79 %
Q1 2022	34.76 %	47.61 %	29.17 %
Q2 2022	32.33 %	45.90 %	26.08 %
Q3 2022	31.88 %	45.04 %	25.61 %
Q4 2022	29.54 %	41.77 %	22.56 %
2022	29.54 %	41.77 %	22.56 %
Q1 2023	27.32 %	39.07 %	19.74 %
Q2 2023	25.85 %	37.31 %	18.48 %

Period	Gross Margin	OIBDA Margin	Net Margin Before Unusual Items
2013	57.06 %	62.96 %	54.38 %
2014	52.98 %	59.17 %	49.67 %
2015	54.19 %	60.01 %	51.04 %
2016	52.40 %	60.56 %	49.41 %
2017	39.83 %	52.64 %	34.80 %
2018	29.48 %	45.20 %	21.94 %
2019	42.75 %	53.65 %	36.99 %
2020	43.24 %	52.40 %	39.04 %
2021	37.74 %	49.16 %	32.79 %
2022	29.54 %	41.77 %	22.56 %

Period	Gross Margin	OIBDA Margin	Net Margin Before Unusual Items
Q1 2014	48.38 %	53.47 %	44.61 %
Q2 2014	58.90 %	65.22 %	56.93 %
Q3 2014	49.40 %	57.22 %	45.65 %
Q4 2014	54.14 %	60.06 %	50.21 %
Q1 2015	51.97 %	56.06 %	47.59 %
Q2 2015	52.99 %	59.07 %	50.83 %
Q3 2015	51.53 %	59.05 %	48.27 %
Q4 2015	59.75 %	65.78 %	56.99 %
Q1 2016	55.08 %	59.61 %	51.55 %
Q2 2016	54.13 %	60.34 %	54.40 %
Q3 2016	48.43 %	62.45 %	45.70 %
Q4 2016	50.11 %	60.33 %	43.12 %
Q1 2017	40.26 %	49.20 %	34.47 %
Q2 2017	41.18 %	56.66 %	39.11 %
Q3 2017	30.16 %	48.18 %	26.51 %
Q4 2017	45.22 %	55.66 %	37.59 %
Q1 2018	44.54 %	56.07 %	37.15 %
Q2 2018	28.61 %	48.11 %	20.27 %
Q3 2018	9.29 %	27.91 %	2.74 %
Q4 2018	29.44 %	44.77 %	21.51 %
Q1 2019	40.16 %	51.28 %	35.06 %
Q2 2019	41.02 %	53.02 %	32.93 %
Q3 2019	39.91 %	52.80 %	33.76 %
Q4 2019	48.21 %	56.74 %	43.81 %
Q1 2020	42.14 %	50.62 %	40.13 %
Q2 2020	44.91 %	57.31 %	39.75 %
Q3 2020	40.01 %	49.63 %	35.18 %
Q4 2020	46.29 %	53.15 %	41.14 %
Q1 2021	41.92 %	50.07 %	38.50 %
Q2 2021	35.94 %	49.62 %	30.44 %
Q3 2021	34.68 %	48.72 %	29.60 %
Q4 2021	36.35 %	47.92 %	29.81 %
Q1 2022	32.23 %	44.61 %	27.05 %
Q2 2022	23.99 %	41.47 %	15.22 %
Q3 2022	32.71 %	45.15 %	27.41 %
Q4 2022	27.70 %	35.93 %	18.59 %
Q1 2023	23.67 %	34.16 %	16.30 %
Q2 2023	16.19 %	32.30 %	8.42 %

Per Share Data (Riyal)

Compared With The

Period	Shares Outstanding (M)	EPS (Riyal)	Adjusted EPS (Riyal)	Book Value (BV)
Q1 2014	140.00	6.85	6.55	17.31
Q2 2014	140.00	6.82	6.53	19.41
Q3 2014	140.00	7.53	6.43	19.45
Q4 2014	140.00	7.47	6.66	21.15
Q1 2015	140.00	7.79	6.99	20.05
Q2 2015	140.00	7.62	6.81	21.98
Q3 2015	140.00	7.03	7.03	20.93
Q4 2015	140.00	7.42	7.46	23.06
Q1 2016	140.00	7.54	7.59	21.52
Q2 2016	140.00	7.52	7.57	23.49
Q3 2016	140.00	7.32	7.36	22.23
Q4 2016	140.00	6.27	6.27	23.25
Q1 2017	140.00	4.99	4.99	24.00
Q2 2017	140.00	3.76	3.76	22.43
Q3 2017	140.00	2.92	2.92	21.84
Q4 2017	140.00	2.64	2.64	22.66
Q1 2018	140.00	2.62	2.62	23.38
Q2 2018	140.00	2.20	2.20	23.14
Q3 2018	140.00	1.83	1.83	22.18
Q4 2018	140.00	1.39	1.39	22.60
Q1 2019	140.00	1.52	1.52	23.46
Q2 2019	140.00	1.91	1.91	23.10
Q3 2019	140.00	2.52	2.56	22.50
Q4 2019	140.00	3.31	3.44	23.62
Q1 2020	140.00	3.76	3.89	24.93
Q2 2020	140.00	4.07	4.21	23.64
Q3 2020	140.00	4.50	4.59	22.46
Q4 2020	140.00	4.35	4.61	23.43
Q1 2021	140.00	4.25	4.51	24.68
Q2 2021	140.00	3.91	4.17	22.86
Q3 2021	140.00	3.37	3.70	22.20
Q4 2021	140.00	3.06	3.13	22.76
Q1 2022	140.00	2.49	2.56	23.30
Q2 2022	140.00	2.30	2.19	22.50
Q3 2022	140.00	2.40	2.22	22.38
Q4 2022	140.00	2.15	1.97	22.90
Q1 2023	140.00	1.86	1.68	23.25
Q2 2023	140.00	1.56	1.56	22.88

Period	Shares Outstanding (M)	EPS (Riyal)	Adjusted EPS (Riyal)	Book Value (BV)
2013	140.00	7.19	6.90	19.73
2014	140.00	7.47	6.66	21.15
2015	140.00	7.42	7.46	23.06
2016	140.00	6.27	6.27	23.25
2017	140.00	2.64	2.64	22.66
2018	140.00	1.39	1.39	22.60
2019	140.00	3.31	3.44	23.62
2020	140.00	4.35	4.61	23.43
2021	140.00	3.07	3.14	22.76
2022	140.00	2.15	1.97	22.90

Multiple Ratios (End of Period Price)

Compared With The

Period	P/E	Adjusted P/E	Price/book
Q1 2014	16.32	17.05	6.46
Q2 2014	17.00	17.76	5.98
Q3 2014	15.11	17.68	5.85
Q4 2014	14.65	16.41	5.17
Q1 2015	12.21	13.62	4.74
Q2 2015	12.90	14.42	4.47
Q3 2015	11.03	11.03	3.70
Q4 2015	9.44	9.38	3.04
Q1 2016	9.68	9.62	3.39
Q2 2016	10.14	10.08	3.25
Q3 2016	8.71	8.66	2.87
Q4 2016	13.13	13.13	3.54
Q1 2017	12.56	12.56	2.61
Q2 2017	14.41	14.41	2.41
Q3 2017	17.08	17.08	2.29
Q4 2017	18.30	18.30	2.14
Q1 2018	19.00	19.00	2.13
Q2 2018	18.61	18.61	1.77
Q3 2018	18.79	18.79	1.55
Q4 2018	26.49	26.49	1.63
Q1 2019	30.25	30.25	1.96
Q2 2019	25.79	25.79	2.13
Q3 2019	22.67	22.28	2.54
Q4 2019	19.49	18.74	2.73
Q1 2020	14.50	14.01	2.19
Q2 2020	13.33	12.91	2.30
Q3 2020	15.29	15.01	3.06
Q4 2020	19.37	18.29	3.60
Q1 2021	20.70	19.52	3.57
Q2 2021	22.34	20.97	3.82
Q3 2021	22.16	20.19	3.36
Q4 2021	22.90	22.37	3.08
Q1 2022	28.30	27.51	3.03
Q2 2022	24.97	26.18	2.55
Q3 2022	22.65	24.46	2.43
Q4 2022	23.74	25.89	2.23
Q1 2023	26.86	29.71	2.15
Q2 2023	34.23	34.23	2.34

Period	P/E	Adjusted P/E	Price/book
2013	15.34	15.99	5.59
2014	14.65	16.41	5.17
2015	9.44	9.38	3.04
2016	13.13	13.13	3.54
2017	18.30	18.30	2.14
2018	26.49	26.49	1.63
2019	19.49	18.74	2.73
2020	19.37	18.29	3.60
2021	22.87	22.35	3.08
2022	23.74	25.89	2.23

Business Segments (Million)

Compared With The

Period	Cement sales	Clinker sales
Q1 2023	265.87	33.97

Period	Cement sales	Clinker sales
2022	1,104.53	117.88

Analysts Estimates (Million)

Item	Q2 2023 (e)	Q2 2023 (a)	Change‬
Average	33.26	19.04	(42.8 %)

Estimates vs Actual (Million)

Item	Q2 2023 (e)	Q2 2023 (a)	Change
Al Rajhi Capital	25.00	19.04	(23.9) %
OSOOL AND BAKHEET	26.50	19.04	(28.2) %
Hermes	31.00	19.04	(38.6) %
SNB Capital	32.70	19.04	(41.8) %
Value Capital	35.60	19.04	(46.5) %
Riyad Capital	36.00	19.04	(47.1) %
United Securities Company	38.00	19.04	(49.9) %
AlJazira Capital	41.30	19.04	(53.9) %

Financial Ratios

	Current
Market Cap (M Riyal)	5,166.00
Enterprise Value (EV) (M)	5,252.26
Shares Outstanding ((M))	140.00
EPS ( Riyal) (TTM)	1.49
Book Value (BV) ( Riyal)	23.92
Par Value ( Riyal)	10.00
Adjusted P/E (Last12)	26.95
P/E (TTM)	24.76
Price/book	1.54
Return on Average Assets (%) (TTM)	5.1
Return on Average Equity (%) (TTM)	6.3

Southern Province Cement Co. (SPCC)

Twitter

Facebook

Linked in

Comments {{getCommentCount()}}

Be the first to comment

رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}

Sorry: the validity period has ended to comment on this news

Opinions expressed in the comments section do not reflect the views of Argaam. Abusive comments of any kind will be removed. Political or religious commentary will not be tolerated.

Southern Cement H1 2023 profit drops 55% to SAR 68 mln; Q2 at SAR 19 mln

View other reports

Financials (M)

Current Quarter Comparison (M)

Financial results (Million)

Financial results (Million)

Profitability

Profitability

Per Share Data (Riyal)

Per Share Data (Riyal)

Multiple Ratios (End of Period Price)

Ratios And Multiples

Business Segments (Million)

Revenue by Business Segment (Latest) 2023 Q2

Analysts Estimates (Million)

Analysts Estimates (Million)

Estimates vs Actual (Million)

Estimates Accuracy

Financial Ratios

Share Price

Southern Province Cement Co. (SPCC)

Comments {{getCommentCount()}}

رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}

{{comment.DisplayName}}

Southern Cement H1 2023 profit drops 55% to SAR 68 mln; Q2 at SAR 19 mln

View other reports

Financials (M)

Current Quarter Comparison (M)

Financial results (Million)

Financial results (Million)

Profitability

Profitability

Per Share Data (Riyal)

Per Share Data (Riyal)

Multiple Ratios (End of Period Price)

Ratios And Multiples

Business Segments (Million) Q1 2023

Revenue by Business Segment (Latest) 2023 Q2

Analysts Estimates (Million)

Analysts Estimates (Million)

Estimates vs Actual (Million)

Estimates Accuracy

Financial Ratios

Share Price

Southern Province Cement Co. (SPCC)

Comments {{getCommentCount()}}

رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}

{{comment.DisplayName}}

Business Segments (Million)