Maaden posts SR 128 million net income

Saudi Arabian Mining Company (Maaden), announcing its interim financial results for the six-month period ended June 30, 2012, has said the net income attributable to the shareholders of the parent company for the second quarter ended June 30 amounted to SR 128 million, compared to the actual net income of SR 63 million for the same quarter of 2011 representing an increase of 103 percent and compared to the actual net income of SR 246 million for Q1, 2012 representing a decrease of 48 percent.
The gross profit for the second quarter ended June 30, 2012 amounted to SR 340 million, compared to the actual gross profit of SR 160 million for the same quarter of 2011 representing an increase of 112 percent.
The operating income for the second quarter ended June 30, 2012 amounted to SR 247 million, compared to the actual operating income of SR 72 million for the same quarter of 2011 representing an increase of 243 percent.
The net income attributable to the shareholders of the parent company for the first six months ended June 30, 2012 amounted to SR 374 million, compared to the actual net income of SR 106 million for the same period of 2011 representing an increase of 253 percent.
The basic and diluted earnings per share (EPS) for the six months ended June 30, 2012 amounted to SR 0.40 per share compared to the actual earning per share of SR 0.11 for the same period of 2011.
The gross profit for the first six months ended June 30, 2012 amounted to SR 798 million, compared to the actual gross profit of SR 288 million for the same period of 2011 representing an increase of 177 percent.
The operating income for the first six months ended June 30, 2012 amounted to SR 608 million compared to the actual operating income of SR 109 million for the same period of 2011 representing an increase of 457 percent.
The increase in the net income for the second quarter and six months period ended June 30, 2012 compared to the actual for the same period of 2011 is attributed to the beginning of commercial production of ammonia and DAP for Maaden Phosphate Company, an increase in the average realized price per ounce of gold sold, an increase in quantity of gold sold. The net income improvement was achieved despite the increase in financial charges related to MPC and increase in zakat provision.
The decrease in the net income for the second quarter 2012 compared to the actual net income for the first quarter of 2012 is attributed to the lower quantity of gold sold, the reduction in DAP prices and higher zakat provisions.