Basic Chemical’s net profit rises 43% in 9M

28/10/2018 Argaam Exclusive

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Share Price

32.20
(0.35) (1.08 %)

Basic Chemical Industries Co. (BCI)

Basic Chemical Industries Co. (BCI) reported a net profit after zakat and tax of SAR 38.3 million for the first nine months of 2018, an increase of 43.4 percent year-on-year (YoY), backed by higher sales and other operating income, along with a decline in selling, and distribution expenses.



Financials (M)

Item 9m 2017 9m 2018 Change‬
Revenues 422.07 448.41 6.2 %
Gross Income 108.71 120.28 10.6 %
Operating Income 52.71 62.76 19.1 %
Net Income 26.71 38.30 43.4 %
Average Shares 27.50 27.50 -
EPS (Riyals) 0.97 1.39 43.4 %

The company’s Q3 net profit after zakat and tax jumped 12.5 percent YoY to SAR 9.3 million owing to a drop in the cost of goods sold.

 

However, on a quarterly basis, the third-quarter net profit dropped 28.5 percent, due to lower sales and a rise in selling, general and administrative expenses.



Current Quarter Comparison (M)

Compared With The
Item Q3 2017 Q3 2018 Change‬
Revenues 144.18 143.26 (0.6 %)
Gross Income 36.09 37.53 4.0 %
Operating Income 18.38 15.57 (15.3 %)
Net Income 8.26 9.29 12.5 %
Average Shares 27.50 27.50 -
EPS (Riyals) 0.30 0.34 12.5 %


Financial results (Million)

Period Revenues Change Gross Income Change Net Income Change EPS(Riyal)
Q1 2009 130.70 12.0 % 34.28 9.7 % 12.94 87.0 % 0.47
Q2 2009 135.57 1.7 % 41.77 5.8 % 16.08 37.4 % 0.58
Q3 2009 119.67 (5.3 %) 39.91 18.3 % 14.85 37.4 % 0.54
Q4 2009 122.80 4.3 % 38.43 27.0 % 18.78 84.1 % 0.68
Q1 2010 135.39 3.6 % 40.33 17.6 % 15.92 23.0 % 0.58
Q2 2010 142.88 5.4 % 44.79 7.2 % 19.49 21.2 % 0.71
Q3 2010 129.63 8.3 % 38.82 (2.7 %) 15.29 2.9 % 0.56
Q4 2010 135.99 10.7 % 37.23 (3.1 %) 15.52 (17.4 %) 0.56
Q1 2011 150.66 11.3 % 39.85 (1.2 %) 13.73 (13.7 %) 0.50
Q2 2011 176.40 23.5 % 52.00 16.1 % 19.92 2.2 % 0.72
Q3 2011 161.43 24.5 % 42.36 9.1 % 13.83 (9.5 %) 0.50
Q4 2011 154.24 13.4 % 40.09 7.7 % 11.83 (23.8 %) 0.43
Q1 2012 179.36 19.0 % 46.75 17.3 % 17.58 28.0 % 0.64
Q2 2012 186.81 5.9 % 51.25 (1.5 %) 17.29 (13.2 %) 0.63
Q3 2012 160.72 (0.4 %) 43.18 1.9 % 14.69 6.2 % 0.53
Q4 2012 175.80 14.0 % 48.77 21.6 % 14.90 26.0 % 0.54
Q1 2013 176.25 (1.7 %) 46.01 (1.6 %) 16.24 (7.6 %) 0.59
Q2 2013 194.65 4.2 % 49.73 (3.0 %) 18.16 5.0 % 0.66
Q3 2013 147.48 (8.2 %) 33.63 (22.1 %) 6.27 (57.3 %) 0.23
Q4 2013 140.56 (20.0 %) 31.71 (35.0 %) 3.67 (75.4 %) 0.13
Q1 2014 162.90 (7.6 %) 39.23 (14.7 %) 8.76 (46.1 %) 0.32
Q2 2014 167.06 (14.2 %) 37.48 (24.6 %) 7.21 (60.3 %) 0.26
Q3 2014 151.12 2.5 % 28.61 (14.9 %) 1.21 (80.7 %) 0.04
Q4 2014 152.38 8.4 % 29.27 (7.7 %) 6.50 77.3 % 0.24
Q1 2015 156.13 (4.2 %) 31.26 (20.3 %) 2.76 (68.5 %) 0.10
Q2 2015 161.48 (3.3 %) 36.77 (1.9 %) 7.30 1.2 % 0.27
Q3 2015 141.75 (6.2 %) 27.81 (2.8 %) 2.31 90.7 % 0.08
Q4 2015 170.26 11.7 % 45.73 56.3 % 20.20 210.7 % 0.73
Q1 2016 147.94 (5.2 %) 34.53 10.5 % 10.75 289.5 % 0.39
Q2 2016 148.34 (8.1 %) 41.64 13.2 % 13.23 81.2 % 0.48
Q3 2016 123.86 (12.6 %) 29.51 6.1 % 7.29 215.8 % 0.27
Q4 2016 137.69 (19.1 %) 42.14 (7.9 %) 14.91 (26.2 %) 0.54
Q1 2017 128.39 (13.2 %) 32.13 (6.9 %) 5.92 (44.9 %) 0.22
Q2 2017 149.51 0.8 % 40.49 (2.8 %) 12.52 (5.4 %) 0.46
Q3 2017 144.18 16.4 % 36.09 22.3 % 8.26 13.3 % 0.30
Q4 2017 173.47 26.0 % 42.08 (0.1 %) 17.06 14.4 % 0.62
Q1 2018 153.76 19.8 % 42.83 33.3 % 16.01 170.4 % 0.58
Q2 2018 151.39 1.3 % 39.92 (1.4 %) 13.00 3.8 % 0.47
Q3 2018 143.26 (0.6 %) 37.53 4.0 % 9.29 12.5 % 0.34

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2009 27.10 % 17.80 % 8.98 %
Q2 2009 27.43 % 19.32 % 9.80 %
Q3 2009 29.03 % 20.76 % 10.73 %
Q4 2009 30.35 % 21.49 % 12.31 %
Q1 2010 31.25 % 22.05 % 12.78 %
Q2 2010 31.39 % 22.17 % 13.26 %
Q3 2010 30.59 % 21.46 % 13.09 %
Q4 2010 29.63 % 20.93 % 12.18 %
Q1 2011 28.74 % 20.09 % 11.45 %
Q2 2011 28.33 % 20.04 % 10.88 %
Q3 2011 27.45 % 19.27 % 10.09 %
Q4 2011 27.12 % 18.56 % 9.23 %
Q1 2012 26.99 % 18.81 % 9.41 %
Q2 2012 26.46 % 18.07 % 8.88 %
Q3 2012 26.61 % 18.18 % 9.01 %
Q4 2012 27.03 % 18.42 % 9.17 %
Q1 2013 27.05 % 18.53 % 9.02 %
Q2 2013 26.53 % 17.99 % 9.04 %
Q3 2013 25.66 % 16.71 % 8.00 %
Q4 2013 24.45 % 15.66 % 6.73 %
Q1 2014 23.90 % 14.46 % 5.71 %
Q2 2014 22.99 % 13.30 % 4.19 %
Q3 2014 22.04 % 12.49 % 3.35 %
Q4 2014 21.25 % 12.44 % 3.74 %
Q1 2015 20.20 % 11.62 % 2.82 %
Q2 2015 20.27 % 11.80 % 2.86 %
Q3 2015 20.45 % 12.79 % 3.08 %
Q4 2015 22.49 % 15.44 % 5.17 %
Q1 2016 23.31 % 16.99 % 6.53 %
Q2 2016 24.61 % 18.20 % 7.64 %
Q3 2016 25.64 % 18.63 % 8.72 %
Q4 2016 26.50 % 18.32 % 8.28 %
Q1 2017 27.01 % 17.91 % 7.68 %
Q2 2017 26.74 % 18.01 % 7.53 %
Q3 2017 26.95 % 18.59 % 7.43 %
Q4 2017 25.32 % 17.67 % 7.35 %
Q1 2018 26.01 % 18.83 % 8.67 %
Q2 2018 25.84 % 18.82 % 8.72 %
Q3 2018 26.11 % 18.46 % 8.90 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2009 27.50 1.66 1.66 11.55
Q2 2009 27.50 1.82 1.82 11.73
Q3 2009 27.50 1.97 1.97 12.27
Q4 2009 27.50 2.28 2.28 12.88
Q1 2010 27.50 2.39 2.39 13.46
Q2 2010 27.50 2.51 2.51 13.17
Q3 2010 27.50 2.53 2.53 13.73
Q4 2010 27.50 2.41 2.41 14.29
Q1 2011 27.50 2.33 2.33 14.79
Q2 2011 27.50 2.34 2.34 14.51
Q3 2011 27.50 2.29 2.29 15.02
Q4 2011 27.50 2.16 2.16 15.45
Q1 2012 27.50 2.30 2.30 16.09
Q2 2012 27.50 2.20 2.20 15.72
Q3 2012 27.50 2.23 2.23 16.25
Q4 2012 27.50 2.34 2.34 16.79
Q1 2013 27.50 2.30 2.30 17.38
Q2 2013 27.50 2.33 2.33 16.54
Q3 2013 27.50 2.02 2.02 16.77
Q4 2013 27.50 1.61 1.61 16.90
Q1 2014 27.50 1.34 1.34 17.22
Q2 2014 27.50 0.94 0.94 16.48
Q3 2014 27.50 0.76 0.76 16.53
Q4 2014 27.50 0.86 0.86 16.77
Q1 2015 27.50 0.64 0.64 16.87
Q2 2015 27.50 0.65 0.65 16.14
Q3 2015 27.50 0.69 0.69 16.22
Q4 2015 27.50 1.18 1.18 17.03
Q1 2016 27.50 1.47 1.47 16.96
Q2 2016 27.50 1.69 1.69 16.44
Q3 2016 27.50 1.87 1.87 16.71
Q4 2016 27.50 1.68 1.68 17.25
Q1 2017 27.50 1.50 1.50 17.47
Q2 2017 27.50 1.48 1.48 16.92
Q3 2017 27.50 1.51 1.51 17.22
Q4 2017 27.50 1.59 1.59 17.77
Q1 2018 27.50 1.96 1.96 18.35
Q2 2018 27.50 1.98 1.98 17.83
Q3 2018 27.50 2.01 2.01 18.16

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2009 11.59 11.59 1.67
Q2 2009 16.53 16.53 2.56
Q3 2009 14.80 14.80 2.37
Q4 2009 13.26 13.26 2.34
Q1 2010 13.45 13.45 2.38
Q2 2010 11.31 11.31 2.16
Q3 2010 12.07 12.07 2.22
Q4 2010 11.63 11.63 1.96
Q1 2011 11.85 11.85 1.87
Q2 2011 11.52 11.52 1.86
Q3 2011 10.67 10.67 1.63
Q4 2011 12.84 12.84 1.79
Q1 2012 17.11 17.11 2.44
Q2 2012 12.50 12.50 1.75
Q3 2012 12.59 12.59 1.73
Q4 2012 11.44 11.44 1.60
Q1 2013 14.68 14.68 1.94
Q2 2013 13.62 13.62 1.92
Q3 2013 16.23 16.23 1.96
Q4 2013 20.53 20.53 1.96
Q1 2014 24.93 24.93 1.94
Q2 2014 43.62 43.62 2.49
Q3 2014 More than 50 More than 50 2.57
Q4 2014 34.49 34.50 1.77
Q1 2015 More than 50 More than 50 2.21
Q2 2015 More than 50 More than 50 2.12
Q3 2015 36.26 36.26 1.53
Q4 2015 17.20 17.20 1.20
Q1 2016 13.53 13.53 1.18
Q2 2016 18.98 18.98 1.95
Q3 2016 16.57 16.57 1.86
Q4 2016 15.45 15.45 1.50
Q1 2017 16.15 16.15 1.39
Q2 2017 14.34 14.34 1.25
Q3 2017 13.98 13.98 1.23
Q4 2017 13.31 13.31 1.19
Q1 2018 11.42 11.42 1.22
Q2 2018 12.15 12.15 1.35
Q3 2018 11.07 11.07 1.23

Business Segments (Million)

Compared With The
Period chemicals materials Adhesive materials and others Maintenance Chemicals and laundries Polyurethane Chemicals Hydrochloric acid and caustic soda and chlorine gas Others..
Q1 2009 - - 27.26 24.51 26.88 8.53
Q2 2009 - - 23.56 24.02 26.41 9.23
Q3 2009 - - 19.21 18.05 23.37 9.40
Q4 2009 - - 20.28 19.53 25.57 9.55
Q1 2010 - - 25.79 19.75 23.16 11.98
Q2 2010 - - 30.65 21.85 26.26 10.76
Q3 2010 - - 22.05 22.34 26.49 9.93
Q4 2010 - - 26.37 23.72 24.63 10.84
Q1 2011 - - 29.67 29.91 21.25 7.58
Q2 2011 - - 32.41 34.24 24.37 7.90
Q3 2011 - - 27.30 28.42 21.33 8.67
Q4 2011 - - 22.79 29.54 21.91 9.01
Q1 2012 - - 32.07 34.99 25.32 9.97
Q3 2012 63.75 92.24 - - - -
Q4 2012 88.34 87.46 - - - -
Q1 2013 99.78 76.48 - - - -
Q2 2013 105.08 89.57 - - - -
Q3 2013 81.66 65.82 - - - -
Q4 2013 79.74 60.82 - - - -
Q1 2014 90.16 72.74 - - - -
Q2 2014 100.23 66.83 - - - -
Q3 2014 86.42 64.71 - - - -
Q4 2014 85.63 66.75 - - - -
Q1 2015 89.62 66.51 - - - -
Q2 2015 96.48 64.99 - - - -
Q3 2015 84.79 56.96 - - - -
Q4 2015 99.91 65.87 - - - -
Q1 2016 92.38 55.56 - - - -
Q2 2016 86.07 62.27 - - - -
Q3 2016 72.07 51.79 - - - -
Q4 2016 72.37 65.32 - - - -
Q1 2017 69.74 58.64 - - - -
Q2 2017 88.07 61.43 - - - -
Q3 2017 83.27 60.91 - - - -
Q4 2017 109.09 64.38 - - - -
Q1 2018 95.68 58.08 - - - -
Q2 2018 94.26 57.13 - - - -
Q3 2018 80.41 62.85 - - - -

Current
Market Cap (M Riyal) 885.50
Enterprise Value (EV) (M) 1,179.29
Shares Outstanding ((M)) 27.50
EPS ( Riyal) (TTM) 0.36
Book Value (BV) ( Riyal) 21.55
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) Neg
P/E (TTM) More than 50
Price/book 1.49
Return on Average Assets (%) (TTM) 0.8
Return on Average Equity (%) (TTM) 1.6

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