The construction and building firms listed in Saudi Arabia saw their net profits plunge by 39 per cent to reach SR528 million ($140.6 million) in the first nine months compared to SR871 million ($232 million) in the same period last year, said a report.
Meanwhile, the profits of the construction firms fell sharply in the third quarter by 80 per cent to SR62.5 million ($16.6 million) compared to SR320.2 million ($85.2 million) in the same period last year, reported the Arab News.
Similarly, the profits dropped by 56 per cent in Q3 compared to the previous quarter when profits stood at SR143.7 million ($38.2 million), it stated.
According to the report, there are 16 listed companies in the Saudi construction sector whose market capitalisation stands at SR30.3 billion ($8.07 billion) or 1.6 per cent of the Saudi capital market. Their capitals stand at SR9.01 billion ($2.03 billion), the report added.
The performance of the listed construction firms varied in the last nine months where 12 companies registered net profits of SR1.15 billion ($306 million) whereas the remaining four companies sustained losses worth SR620 million ($165 million), said the report.
Saudi Ceramic Company topped the list of profit making companies for the nine-month period in Saudi Arabia. The company registered a six per cent growth in profit to hit SR250.3 million ($67 million) compared to SR236.2 million ($63 million) last year.
Zamil Industrial Investment Company was the second biggest profit maker among the construction companies in the last nine months whose profits rose by 12 per cent to hit SR195.4 million ($52 million) compared to SR175.24 million ($47 million) last year.