Saudi Arabia's PetroRabigh posted a 50.3 percent drop in first-quarter net profit on Sunday, blaming the fall on shrinking margins. The firm, a joint venture between Saudi Aramco and Japan's Sumitomo Chemical, made SR205.4 million ($54.8 million) in the three months to March 31, against a net profit of SR413.1 million in the year-ago period, it said in a bourse statement. This compares with a net profit of SR413.1 million in PetroRabigh said lower quarterly profit was due to lower profit margins on its petrochemical products. Saudi petrochemicals producers benefit from subsidized oil, while product prices are closely linked to those of crude so the slump in oil prices has narrowed margins at the kingdom's various manufacturers. Last month, PetroRabigh signed loans worth SR19.4 billion ($5.2 billion) for the expansion of its petrochemicals complex. — SG/Reuters
