The Saudi Basic Industries Corporation (SABIC) reported net profits of SR 5.4 billion during the in the first nine months (3rd quarter) of 2006. These profits are the highest ever achieved in a single quarter since the company's foundation, an increase of 19% over the second quarter of the current year and an increase of 12% over the profits in the same period last year. The total net profit for the first nine months of this year amounts to SR 14.2 billion compared to SR 14.7 billion in the same period of the previous year, a decrease of 3.5%, according to a latest report carried by SABIC'S website. SABIC Vice Chairman and Chief Executive Officer, Mohamed Al-Mady said the operating profits of the first nine months of the current year amounts to SR 24.8 billion compared to SR 24.7 billion for the same period last year. The share profit for the current period amounts to SR 5.67 compared to SR 5.87 for the same period last year. Al-Mady added that the company's recent profits reflect the improvement in the prices of most products in parallel with the rise in sales to 29 million tons, an increase of 8% compared to the corresponding period of the previous year. The income earned during the period amounts to SR 63.6 billion, an increase of 12% over the same period last year. Al-Mady said that the 3Q2006 saw the start of commercial operations of the Glycol Ethylene plant at the UNITED affiliate's complex as well as the long steel products at HADEED, thus raising the total production of SABIC manufacturing complexes to 36.3 million tons, an increase of 5% over the same period of the previous year. Al-Mady lauded the achievements of the company during this period, foremost of which is Standard & Poor's upgrade of SABIC's long-term corporate credit rating to “A+” and the company signing an agreement for the acquisition of Huntsman's European Base Chemicals and Polymers Business, which will enable the company to acquire new assets that contribute to strengthening SABIC's strategy in Europe and further its competitive position in world markets.
