Displaying items by tag: Hail Cement
Saudi Arabia: Qassim Cement Company has informed investors of its intention to acquire Hail Cement Company outright via a submission on the Saudi Exchange. As part of its offer, Qassim Cement Company plans to increase its own share capital by 23%, in order to issue some of it to Hail Cement Company’s shareholders.
Hail Cement’s sales decline in first nine months of 2023
08 November 2023Saudi Arabia: Hail Cement recorded sales worth US$46.2m in the first nine months of 2023, down by 35% year-on-year from US$71.5m in the first nine months of 2022. Nonetheless, the producer’s net profit more than tripled to US$5.7m from US$1.57m. During the third quarter of the year, the company’s sales dropped by 50% year-on-year to US$13.7m, and it reported a loss, against a profit of US$1.59m in the third quarter of 2022.
Hail Cement’s sales dip in first half of 2023
23 August 2023Saudi Arabia: Hail Cement recorded sales of US$32.4m during the first half of 2023, down by 26% year-on-year. Mubasher News has reported that the producer recorded a net profit of US$6.53m over the six-month period, compared to a first-half loss of US$3.66m one year previously.
Saudi Arabia: The General Authority for Competition (GAC) has fined 14 local cement producers around US$37m for price fixing. The companies were found to have broken local competition law following an investigation by GAC. They are now each liable for a US$2.7m penalty. The producers concerned are: Al-Safwa Cement; Al-Madina Cement; Umm Al-Qura Cement; Al-Jawf Cement Company; Qassim Cement; Najran Cement; Southern Province Cement; United Industrial Cement; Yamama Cement; Riyadh Cement (Saudi White Cement); Arabian Cement; Saudi Cement; Yanbu Cement; and Hail Cement.
Qassim Cement to acquire Hail Cement
26 September 2022Saudi Arabia: Qassim Cement has concluded a non-binding memorandum of understanding (MoU) with Hail Cement for acquisition of the latter’s issued shares. After any acquisition takes place, Qassim Cement plans to issue US$377m-worth of share capital in favour of Hail Cement’s existing shareholders.
Abdul Malik Khaled Al-Rajhi appointed as chair of Hail Cement
08 December 2021Saudi Arabia: Hail Cement has elected Abdul Malik Khaled Al-Rajhi as its chair. Abdul Aziz Majed Abdullah Al Kasabi has been appointed as the vice-chair and Fahad Musaad Al Rasheedi as secretary to the board of directors. Each position is for a duration of three years until November 2024.
Hail Cement hit by fall in prices
07 February 2019Saudi Arabia: Hail Cement’s profits have been reduced by a fall in prices, weakened demand and ‘tough’ competition. Its sales rose by 19% year-on-year to US$52.3m in 2018 from US$43.9m. However, its total profit fell by 77% to US$3.2m from US$13.5m.
Saudi Arabia: Production at Tabuk Cement and Hail Cement has risen supporting the construction of the Neom technology city project in the north of the country. Output from the producers has risen by 20% and 55% respectively year-on-year in the first half of 2018, according to Bloomberg. Both companies are located in the north of the country near to the project. Meanwhile, most of the other local cement companies have reported declining production. The Neom project has been backed with an investment of US$500bn.
Saudi Arabia: Mattar Alzahrani has resigned as the chief executive officer of Hail Cement. He will leave the post at the end of August 2018 to take up another position elsewhere. Ahmed Sulaiman Abdul Aziz Al Rajhi has also resigned as an independent member of the company’s board.
Saudi Arabia: Cement sales revenue is expected to fall quarter-on-quarter in the second quarter of 2018 due to restructuring in the industry and holidays in the period. A report by Al Rajhi Capital found that cement sales volumes fell by 16.7% year-on-year in April and May 2018. 15 cement companies reported falling sales volumes, led by Riyadh Cement and Cement City with 44.1% and 37.5% declines respectively. Only two companies, Tabuk Cement and Hail Cement, reported growth. Total inventory for the industry grew by 1.2% quarter-on-quarter to around 36.2Mt at the end of May 2018. The financial services company forecasts that revenue in the cement sector will fall by 6% year-on-year.