- Advertisement -
Tuesday, November 26, 2024
Home Magazines Infrastructure ME KSA cement sector to see a fall in revenue for Q2 2018

KSA cement sector to see a fall in revenue for Q2 2018

Saudi Arabia’s cement sector is expected to witness a fall in revenue in the second quarter of 2018, according to a report released by Al Rajhi Capital, a leading financial services provider in the Kingdom.

According to Al Rajhi’s Q2 2018 earnings estimates report, the companies under Al Rajhi’s coverage are expected to report a ~6% year-on-year decline in revenue, while earnings are likely to fall by ~10% year-on-year.

The cement’s sector sales volume declined by 16.7% y-o-y in the first two months of Q2, which was put down to the restructuring of the industry, and the seasonality effect (summer, Ramadan and Eid), added the report.

On a quarterly basis, sale volumes are expected to be lower than the previous quarter due to the seasonality effect, the report said.

“In the first two months of Q2 2018, 15 cement companies have reported a y-o-y decline in sales volume, led by Riyadh Cement (-44.1% y-o-y) and Cement City (-37.5%), while only two companies have reported an increase viz Tabuk Cement (+82.4% y-o-y) and Hail Cement (+28.7%),” it outlined.

However, the total inventory for the sector has increased slightly by 1.2% q-o-q (~36.2 million tons by the end of May) due to an increase in production and declining sales.

- Advertisement -
- Advertisement -

Most Popular

HEAT Show 2024: Al-Kifah strikes 100 unit ready mix truck deal

XCMG has continued its impressive week at the HEAT Show with a major deal to supply 100 units to Al Kifah, one of the...

PlusX Electric advocates for sustainable charging solutions for EVs

Dubai-based PlusX Electric is advocating for the use of ‘more eco-friendly, non-super-fast chargers for electric vehicles (EV)’, stating that there are substantial environmental benefits...

AJEX Logistics Services set to expand with new facility at Bahrain Cargo Village

AJEX Logistics Services (AJEX), a prominent express distribution and shipping solutions provider in the Middle East, has signed a Letter of Intent (LOI) with...

HEAT Show 2024: Action-packed HEAT Show opens in Dammam

The HEAVY EQUIPMENT AND TRUCK (HEAT) SHOW has officially opened its doors at the Dharan Expo, bringing together key players in the heavy equipment...

Related News

HEAT Show 2024: Al-Kifah strikes 100 unit ready mix truck deal

XCMG has continued its impressive week at the HEAT Show with a major deal to supply 100 units to Al Kifah, one of the...

PlusX Electric advocates for sustainable charging solutions for EVs

Dubai-based PlusX Electric is advocating for the use of ‘more eco-friendly, non-super-fast chargers for electric vehicles (EV)’, stating that there are substantial environmental benefits...

AJEX Logistics Services set to expand with new facility at Bahrain Cargo Village

AJEX Logistics Services (AJEX), a prominent express distribution and shipping solutions provider in the Middle East, has signed a Letter of Intent (LOI) with...

HEAT Show 2024: Action-packed HEAT Show opens in Dammam

The HEAVY EQUIPMENT AND TRUCK (HEAT) SHOW has officially opened its doors at the Dharan Expo, bringing together key players in the heavy equipment...

HEAT Show 2024: Tata Motors launches first AMT Truck in Saudi Arabia: Prima 4440.S

Tata Motors has unveiled its first-ever Automated Manual Transmission (AMT) truck, the Prima 4440.S AMT, in Saudi Arabia. Based on the brand’s flagship Prima platform,...

LEAVE A REPLY

Please enter your comment!
Please enter your name here