Saudi Safco Q4 Net Tripled On Higher Sale Prices

Saudi Arabian Fertilizers Co (Safco) said on Sunday its net profit nearly tripled in the fourth quarter buoyed by higher prices, beating estimates.

Safco made 1 billion ($266.7 million) riyals in the quarter after 376 million riyals a year ago but revised its net profit for the fourth quarter of 2009 to 335 million riyals, the company said in a statement posted on the bourse website.

The results beat analysts' average forecast of 770.23 million riyals.

"The rise in profits for 2010 and the fourth quarter of 2010 compared to the same periods the year earlier ... is due to improving prices of petrochemical products and increasing sales," the statement said.

Saudi Arabian Basic Industries Corp (SABIC) owns a 42.9% stake in Safco.

Operating profit and gross profit for the fourth-quarter both rose by 156% with operating profit reaching 896 million riyals for the fourth-quarter and gross profit reaching 918 million riyals for the same period, the statement said.

Full year net profit rose by 79% to 3.2 billion riyals. Earnings per share for the year reached 12.9 riyals, it said.