Saudi Ceramics reaches SAR 120M settlement in Riyadh plant fire

Saudi Ceramic Co. building

Saudi Ceramic Co. (Saudi Ceramics) announced, on May 7, 2025, reaching a full and final insurance settlement with The Company for Cooperative Insurance (Tawuniya) for all damages resulting from the fire at its Riyadh plant on July 15, 2023. The total settlement amount stands at SAR 120 million.

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In a statement to Tadawul, Saudi Ceramic said the settlement will have a positive financial impact in Q2 2025, adding that it will retain the value of the scrap resulting from the fire damage.

The compensation amount was calculated based on a cash indemnity in accordance with the terms of the insurance policy, which determines the settlement after applying the principles of proportionality, depreciation, and mandatory deductible.

The company does not expect any material negative financial impact on its operations as a result of this incident.

Saudi Ceramic reaffirmed its full commitment to applying the highest standards of risk management and safety, adding that it continues to work on enhancing operational sustainability and protecting shareholders’ interests.

According to data compiled by Argaam, Saudi Ceramic announced in July 2023 that a fire broke out at its second sanitary ware plant in the Second Industrial City in Riyadh.