Nama Chemicals accumulated losses reach 47.62% of capital

Logo of Nama Chemicals Co.

Nama Chemicals Co.’s accumulated losses reached 47.62% of its SAR 235.2 million capital, based on the unaudited financial results for the period ending June 30, 2025, which were closed on July 9.

In a statement to Tadawul, the company said accumulated losses amounted to SAR 111.99 million as of June 30, 2025.

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These losses were attributed to the delayed arrival of raw materials and limited working capital financing sources, which weighed on operational efficiency.

This is in addition to the temporary production halt at the company’s factories for scheduled periodic maintenance in April 2025.

However, production gradually resumed at these plants, which should lift operational performance and financial results during the second half of this year, Nama Chemicals pointed out.

The company will continue to work to improve production efficiency and reduce costs through the approved corrective measures, which are poised to help uplift revenues and trim expenses to achieve its goals.

Nama Chemicals indicated that the executive management and board of directors are also working to find the best opportunities and solutions to trim its accumulated losses and financial burdens.

Procedures and instructions applicable on Tadawul-listed companies whose accumulated losses reached 20% or more of capital will apply.

Nama Chemicals appointed a certified appraiser from the Saudi Authority for Accredited Valuers in the machinery and equipment branch to assess the assets of its subsidiary, Jubail Chemical Industries Co. (JANA).

The appraisal concluded that the fair value of JANA’s assets exceeds their book value. The company is currently reviewing the report's outputs, and based on this, it will announce any developments, it added.

According to data available on Argaam, Nama Chemicals announced the scheduled shutdown of its epoxy plant and the JANA project plant as of April 14. Operations at the two plants resumed on May 8 after maintenance completion.