Strong Financial Results for Saudi Companies in 2005

JEDDAH, 5 March 2006 — Six companies listed on the Saudi bourse index reported yesterday the financial results for their operations in 2005. The companies have enjoyed a successful operational year; five reported increases in their net profits while only one reported a significant decrease in its net losses from the previous year.

Despite the announcement of the increase in their net profits, the shares of the National Agriculture Marketing Co., Ahmed H. Fitaihi Co., the National Shipping Co. of Saudi Arabia, Qassim Agriculture Co., Arabian Pipes Co. fell in yesterday’s trading.

The Al-Mawashi Al-Mukairish United Co. is the only company that reported yesterday a net loss for 2005, although its losses narrowed by SR8.6 million, or 19 percent, from 2004. Al-Mukairish reported that it registered SR36 million in net losses in 2005 compared to SR44.6 million in 2004. National Agriculture Marketing Co. (Thimar) reported a huge shift as its net profits for 2005 were SR8.45 million compared to a net loss of SR2.3 million in 2004. The company net profits in 2005 increased by 467 percent from 2004. Thimar also reported a SR84.4 million rise in its 2005 sales showing an increase of 43 percent from its sales in 2004.

Fitaihi Co. announced that it made SR13.9 million in net profits and SR119.9 million in sales in 2005. By the end of 2005, Fitaihi’s total assets were SR686.9 million and its shareholders’ equity reached SR627 million. The company increased its capital in the fourth quarter of 2005 from SR220 million to SR385 million.

The National Shipping Co. of Saudi Arabia (NSCSA) reported that its net profits increased from SR427.8 million in 2004 to SR437.8 million in 2005 showing a slight percentage increase of 2.3 percent. The company succeeded in increasing its profits despite its report that its income from crude oil transportation in 2005 fell by 20 percent from SR433.7 million to SR333.5 million.

Qassim Agriculture Co. figures for 2005 showed the highest increase in net profits among the six companies in terms of percentage as its net profits increased by 2,323 percent from 2004. The company made SR71.7 million in net profits in 2005.

Arabian Pipes Co. (Anabeeb) also saw a huge increase in its net profits for 2005. The company’s net profits widened as it increased by 125 percent from SR34.5 million in 2004 to SR77.7 million in 2005.