ZIIC’s Net Profits Jump 31.4% to SR59.5 Million

JEDDAH, 20 October 2004 — Zamil Industrial Investment Company (ZIIC), the international manufacturing and fabrication group focused on growth segments of the construction industry, has announced net profits of SR59.5 million ($15.9 million) for the nine months ending September 2004. This represents an increase of 31.4 percent over the same period in 2003.

Total turnover during the nine months was SR1.5 billion ($389.3 million), an increase of SR250.3 million ($66.8 million), a 20.7 percent increase over the same period in 2003. Shareholders’ equity increased by 11.7 percent to SR480.9 million ($128.2 million), up from SR430.6 million ($114.8 million) in 2003.

Net profits after Zakah contributions grew by 31.4 percent compared to SR45.3 million ($12.1 million) in the same period in 2003. Post Zakah earnings per share also grew by 31.4 percent to SR8.5 ($2.27), up from SR6.47 ($1.73) in 2003.

Total exports amounted to SR792.6 million ($211.4 million), representing 54.3 percent of group turnover.

ZIIC products are marketed and sold in more than 75 countries around the world.

Dr. Abdul Rahman A. Al-Zamil, chairman of ZIIC, said that the company’s strong financial performance saw a further a substantial increase as at September 2004 compared to the same period last year. He added, “The steel and air conditioning sector sales posted an increase of 48.3 percent and 2 percent respectively, while the glass sector recorded an 8.3 percent decrease in sales due to the reorganization of the production lines and supporting departments in addition to the increasingly fierce competition in the architectural glass processing industry”. On Monday, ZIIC announced a new fund for its Saudi employees and workers to purchase shares in the newly formed telecommunications company “Etihad Etisalat”. This initiative is in appreciation for their efforts and dedication to the company as well as to encourage, motivate to recognize and invest in profitable opportunities.

ZIIC exports to more than 75 international markets and derives 35 percent of its revenues from outside Saudi Arabia. For the year ended Dec. 31, 2003, ZIIC posted turnover of SR1.56 billion ($416.3 million), a growth of 11 percent over 2002. Post Zakah earnings per share also grew by 10.6 percent to SR8.36 ($2.23), up from SR7.56 ($2.02) during the same period in 2002.

ZIIC shares are actively traded on the Saudi Equity Market.

ZIIC was founded in 1998. It is headquartered in Dammam and employs 5,000 people in 50 countries.