Its net profits for Q1 2011 were SR36.8 million ($9.8 million), compared to SR55.1 million ($14.7 million) during the same period in 2010, representing a decrease of 33.2 percent, and compared to SR61.3 million ($16.4 million) posted in the previous quarter (Q4), a decline of 40 percent.

Its gross profit for Q1 2011 was SR220.8 million ($58.9 million), compared to gross profit of SR221.5 million ($59.1 million) for the same period in 2010, a decline of 0.3 percent.

Its operating profits during the Q1 posted a decrease of 22.7 percent to SR59.6 million ($15.9 million) from SR77.1 million ($20.6 million) in the same period in 2010.

Its earnings per share declined to SR0.61 ($0.16) from SR0.92 ($0.24) in the same period in 2010. EPS for the same period last year was recalculated based on 60 million shares.

The retraction in the consolidated results was due to drop in gross profit because of the continued pressure by local and regional competition on selling prices and volatility of raw material prices which affected margins, specifically in the steel sector.

“As a consequence, net profits were also impacted, although the company’s financial position and cash flows are solid. Moreover, the other sectors have performed well. On the other hand, the instability in North Africa, which is covered by our Egypt plant had an adverse effect on that operation which is expected to continue,” the company said, adding that certain figures for Q1 2010 have been reclassified to conform with the presentation in the current period.