Sipchem’s Q1 profit drops 37% to SAR 51 mln

19/04/2016 Argaam Exclusive

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Sahara International Petrochemical Co. (SIPCHEM)

 

Saudi International Petrochemical Co. (Sipchem), a producer of methanol and derivatives, reported a net profit of SAR 50.7 million in the first quarter of this year, marking a fall of 37 percent year-on-year (YoY) mainly due to lower selling prices along with higher fuel costs, finance charges and zakat provisions. 

 

Meanwhile, profit for the period surged 95 percent compared to the previous quarter driven by higher production and sales volumes, as well as lower general and administrative expenses.



Current Quarter Comparison (M)

Compared With The
Item Q1 2015 Q1 2016 Change‬
Revenues 802.03 923.99 15.2 %
Gross Income 234.08 268.86 14.9 %
Operating Income 176.62 164.80 (6.7 %)
Net Income 80.62 49.23 (38.9 %)
Average Shares 366.67 366.67 -
EPS (Riyals) 0.22 0.13 (38.9 %)


Financial results (Million)

Period Revenues Change Gross Income Change Net Income Change EPS(Riyal)
Q1 2007 369.98 82.8 % 254.83 79.8 % 150.18 54.7 % 0.49
Q2 2007 330.81 (6.2 %) 183.27 (6.1 %) 100.08 (18.3 %) 0.32
Q3 2007 324.86 8.9 % 156.78 (8.1 %) 87.03 (11.6 %) 0.28
Q4 2007 502.03 4.5 % 357.82 13.9 % 254.08 44.7 % 0.82
Q1 2008 584.46 58.0 % 391.43 53.6 % 231.59 54.2 % 0.63
Q2 2008 413.05 24.9 % 242.12 32.1 % 133.74 33.6 % 0.36
Q3 2008 474.56 46.1 % 272.92 74.1 % 136.72 57.1 % 0.37
Q4 2008 236.51 (52.9 %) 108.33 (69.7 %) 34.72 (86.3 %) 0.09
Q1 2009 159.74 (72.7 %) 22.80 (94.2 %) 29.17 (87.4 %) 0.08
Q2 2009 175.76 (57.4 %) 25.13 (89.6 %) 0.50 (99.6 %) 0.00
Q3 2009 196.78 (58.5 %) 48.91 (82.1 %) 54.67 (60.0 %) 0.15
Q4 2009 298.13 26.1 % 138.91 28.2 % 56.54 62.8 % 0.15
Q1 2010 305.61 91.3 % 148.84 552.9 % 81.20 178.3 % 0.22
Q2 2010 371.88 111.6 % 189.10 652.7 % 87.66 17326.6 % 0.24
Q3 2010 508.59 158.5 % 201.19 311.4 % 84.11 53.8 % 0.23
Q4 2010 806.46 170.5 % 322.22 132.0 % 125.12 121.3 % 0.34
Q1 2011 693.04 126.8 % 267.26 79.6 % 120.90 48.9 % 0.33
Q2 2011 831.65 123.6 % 316.49 67.4 % 165.38 88.7 % 0.45
Q3 2011 865.04 70.1 % 417.16 107.3 % 208.45 147.8 % 0.57
Q4 2011 934.65 15.9 % 425.86 32.2 % 211.18 68.8 % 0.58
Q1 2012 1,058.04 52.7 % 334.73 25.2 % 151.61 25.4 % 0.41
Q2 2012 904.47 8.8 % 314.22 (0.7 %) 136.07 (17.7 %) 0.37
Q3 2012 914.39 5.7 % 314.84 (24.5 %) 155.84 (25.2 %) 0.43
Q4 2012 1,044.97 11.8 % 303.75 (28.7 %) 157.65 (25.3 %) 0.43
Q1 2013 857.39 (19.0 %) 180.54 (46.1 %) 64.45 (57.5 %) 0.18
Q2 2013 912.42 0.9 % 368.77 17.4 % 174.02 27.9 % 0.47
Q3 2013 998.84 9.2 % 345.65 9.8 % 185.19 18.8 % 0.51
Q4 2013 1,302.97 24.7 % 469.59 54.6 % 196.79 24.8 % 0.54
Q1 2014 927.45 8.2 % 233.36 29.3 % 68.66 6.5 % 0.19
Q2 2014 1,177.63 29.1 % 522.46 41.7 % 244.60 40.6 % 0.67
Q3 2014 1,019.33 2.1 % 317.91 (8.0 %) 160.57 (13.3 %) 0.44
Q4 2014 999.99 (23.3 %) 322.92 (31.2 %) 132.40 (32.7 %) 0.36
Q1 2015 802.03 (13.5 %) 234.08 0.3 % 80.62 17.4 % 0.22
Q2 2015 1,006.95 (14.5 %) 287.40 (45.0 %) 110.07 (55.0 %) 0.30
Q3 2015 809.93 (20.5 %) 209.37 (34.1 %) 71.58 (55.4 %) 0.20
Q4 2015 871.77 (12.8 %) 102.15 (68.4 %) 25.98 (80.4 %) 0.07
Q1 2016 923.99 15.2 % 268.86 14.9 % 49.23 (38.9 %) 0.13

Profitability

Period Gross Margin OIBDA Margin Net Margin Before Unusual Items
Q1 2007 62.26 % 72.40 % 36.42 %
Q2 2007 62.37 % 73.27 % 35.44 %
Q3 2007 60.36 % 69.97 % 34.06 %
Q4 2007 62.36 % 71.18 % 38.71 %
Q1 2008 62.53 % 69.73 % 38.62 %
Q2 2008 62.93 % 69.42 % 38.72 %
Q3 2008 64.04 % 70.68 % 40.58 %
Q4 2008 59.39 % 67.28 % 35.37 %
Q1 2009 50.33 % 60.37 % 29.36 %
Q2 2009 41.01 % 53.17 % 23.29 %
Q3 2009 26.69 % 38.77 % 8.67 %
Q4 2009 28.39 % 40.42 % 7.93 %
Q1 2010 37.06 % 46.47 % 14.64 %
Q2 2010 44.85 % 52.51 % 19.62 %
Q3 2010 45.68 % 58.87 % 20.85 %
Q4 2010 43.23 % 53.67 % 18.97 %
Q1 2011 41.17 % 52.62 % 17.55 %
Q2 2011 38.99 % 50.44 % 17.45 %
Q3 2011 41.40 % 50.97 % 19.39 %
Q4 2011 42.92 % 53.18 % 21.23 %
Q1 2012 40.50 % 49.59 % 19.97 %
Q2 2012 39.66 % 48.73 % 18.80 %
Q3 2012 36.46 % 45.19 % 17.18 %
Q4 2012 32.32 % 42.08 % 15.33 %
Q1 2013 29.92 % 40.69 % 13.81 %
Q2 2013 31.32 % 42.52 % 14.80 %
Q3 2013 31.43 % 42.98 % 15.24 %
Q4 2013 33.51 % 42.25 % 15.24 %
Q1 2014 34.22 % 42.01 % 15.08 %
Q2 2014 35.65 % 42.65 % 15.78 %
Q3 2014 34.86 % 41.78 % 15.15 %
Q4 2014 33.86 % 42.36 % 15.61 %
Q1 2015 34.94 % 44.44 % 16.40 %
Q2 2015 30.36 % 40.88 % 13.61 %
Q3 2015 29.12 % 40.95 % 11.94 %
Q4 2015 23.86 % 36.22 % 8.26 %
Q1 2016 24.02 % 36.37 % 7.70 %


Per Share Data (Riyal)

Compared With The
Period Shares Outstanding (M) EPS (Riyal) Adjusted EPS (Riyal) Book Value (BV)
Q1 2007 309.60 1.77 1.77 8.25
Q2 2007 309.60 1.69 1.69 8.58
Q3 2007 309.60 1.66 1.66 8.86
Q4 2007 309.60 1.91 1.91 9.68
Q1 2008 366.67 1.83 1.83 14.17
Q2 2008 366.67 1.93 1.93 14.53
Q3 2008 366.67 2.06 2.18 13.99
Q4 2008 366.67 1.46 1.65 13.54
Q1 2009 366.67 0.91 1.03 13.67
Q2 2009 366.67 0.55 0.66 13.09
Q3 2009 366.67 0.32 0.18 13.21
Q4 2009 366.67 0.38 0.18 13.42
Q1 2010 366.67 0.53 0.39 12.71
Q2 2010 366.67 0.76 0.63 12.82
Q3 2010 366.67 0.84 0.84 12.98
Q4 2010 366.67 1.03 1.03 13.42
Q1 2011 366.67 1.14 1.14 13.79
Q2 2011 366.67 1.35 1.35 14.21
Q3 2011 366.67 1.69 1.69 14.74
Q4 2011 366.67 1.93 1.93 15.36
Q1 2012 366.67 2.01 2.01 14.56
Q2 2012 366.67 1.93 1.93 14.93
Q3 2012 366.67 1.79 1.79 14.87
Q4 2012 366.67 1.64 1.64 15.34
Q1 2013 366.67 1.40 1.40 14.80
Q2 2013 366.67 1.51 1.51 15.31
Q3 2013 366.67 1.59 1.59 15.23
Q4 2013 366.67 1.69 1.69 15.80
Q1 2014 366.67 1.70 1.70 15.35
Q2 2014 366.67 1.90 1.90 15.45
Q3 2014 366.67 1.83 1.83 15.90
Q4 2014 366.67 1.65 1.76 16.28
Q1 2015 366.67 1.69 1.79 15.85
Q2 2015 366.67 1.32 1.42 15.59
Q3 2015 366.67 1.08 1.18 15.78
Q4 2015 366.67 0.79 0.79 15.85
Q1 2016 366.67 0.70 0.76 14.36

Multiple Ratios (End of Period Price)

Compared With The
Period P/E Adjusted P/E Price/book
Q1 2007 36.81 36.81 7.88
Q2 2007 33.66 33.66 6.65
Q3 2007 35.11 35.11 6.57
Q4 2007 49.69 49.69 9.81
Q1 2008 36.42 36.42 4.72
Q2 2008 39.87 39.87 5.29
Q3 2008 24.42 23.05 3.60
Q4 2008 19.25 17.10 2.08
Q1 2009 34.10 30.25 2.27
Q2 2009 More than 50 More than 50 2.61
Q3 2009 More than 50 More than 50 2.95
Q4 2009 More than 50 More than 50 3.23
Q1 2010 More than 50 More than 50 3.36
Q2 2010 49.52 More than 50 2.95
Q3 2010 More than 50 More than 50 3.44
Q4 2010 49.01 49.01 3.77
Q1 2011 39.06 39.06 3.23
Q2 2011 31.89 31.89 3.03
Q3 2011 21.36 21.36 2.45
Q4 2011 20.47 20.47 2.57
Q1 2012 23.10 23.10 3.19
Q2 2012 18.77 18.77 2.42
Q3 2012 21.39 21.39 2.57
Q4 2012 23.30 23.30 2.49
Q1 2013 27.25 27.25 2.58
Q2 2013 30.16 30.16 2.97
Q3 2013 31.47 31.47 3.28
Q4 2013 37.59 37.59 4.03
Q1 2014 38.15 38.15 4.23
Q2 2014 33.35 33.35 4.09
Q3 2014 46.97 46.97 5.40
Q4 2014 32.10 30.23 3.26
Q1 2015 33.93 31.99 3.61
Q2 2015 47.97 44.52 4.06
Q3 2015 35.01 31.97 2.39
Q4 2015 35.64 35.64 1.77
Q1 2016 37.63 34.72 1.84

Business Segments (Million)

Compared With The
Period Marketing activities Intermediate chemicals Basic chemicals Polymers Corporate and others Petrochemical sector Eliminations
Q1 2011 - - - - - 693.04 -
Q2 2011 - - - - - 831.65 -
Q3 2011 - - - - - 865.04 -
Q4 2011 - - - - - 934.65 -
Q1 2012 220.26 - - - - 837.79 -
Q2 2012 182.65 - - - - 721.82 -
Q3 2012 151.79 - - - - 762.60 -
Q4 2012 192.98 - - - - 851.98 -
Q1 2013 214.24 - - - - 643.15 -
Q2 2013 176.39 - - - - 736.03 -
Q3 2013 208.84 - - - - 790.00 -
Q4 2013 196.75 - - - - 1,106.22 -
Q1 2014 225.80 - - - - 701.65 -
Q2 2014 143.30 - - - - 1,034.33 -
Q3 2014 128.72 - - - - 890.61 -
Q4 2014 226.62 - - - - 773.37 -
Q1 2015 59.50 - - - - 742.53 -
Q2 2015 99.40 - - - - 907.55 -
Q3 2015 64.73 - - - - 745.20 -
Q4 2015 279.26 - - - - 592.51 -
Q1 2016 - 565.13 341.67 271.08 51.78 - (305.68)

Analysts Estimates (Million)

Item Q1 2016 (e) Q1 2016 (a) Change‬
Average 28.63 49.23 71.98 %

Estimates vs Actual (Million)

Item Q1 2016 (e) Q1 2016 (a) Change
Al Rajhi Capital 36.00 49.23 36.7 %
SNB Capital 27.90 49.23 76.5 %
Riyad Capital 27.00 49.23 82.3 %
AlJazira Capital 23.60 49.23 108.6 %

Current
Market Cap (M Riyal) 23,539.89
Enterprise Value (EV) (M) 25,035.43
Shares Outstanding ((M)) 733.33
EPS ( Riyal) (TTM) 1.21
Book Value (BV) ( Riyal) 21.49
Par Value ( Riyal) 10.00
Adjusted P/E (Last12) 31.89
P/E (TTM) 26.56
Price/book 1.49
Return on Average Assets (%) (TTM) 3.9
Return on Average Equity (%) (TTM) 5.5

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