Saudi Basic Industries (SABIC) is a petrochemical company that operates in the non-oil industrial sector worldwide. SABIC operates six core business units. The Basic Chemicals unit products include methanol, ethylene, propylene, benzene, xylene, styrene, crude industrial ethanol, butadiene and butadiene-1. The Intermediates unit produces ethylene glycol, ethylene dichloride, and vinyl chloride monomer and dioctyl phthalate. The polyvinyl chloride (PVC) and Polyester unit provides polymeric materials and allied products. Its main products include polyester, melamine, polypropylene, PVC and polystyrenes. The Fertilizers unit offers ammonia and urea, phosphate and liquid fertilizers. The Metals unit is a supplier of flat steel, long steel and aluminum products. The Polyolefins business unit is a producer of polyethylene (PE), polypropylene (PP) and their by-products. It is Saudi Arabia's largest Petrochemical industries company by market capitalisation.
Independent Ratings and Relative Value Indicators
+ Industryweek 1000:
Saudi Basic Industries Corp. is a new entrant in the Industry Week list of the world's largest 1000 manufacturers by Revenues in 2016, ranked 94. + Newsweek 500:
It was ranked 415 by Newsweek and Corporate Knights Capital in the World's 500 Greenest Companies 2016. It had outstanding scores of 10.4% in Water productivity, 2.1% in Energy productivity and 1.7% in Carbon productivity.
Contact Details
Website
http:// www.sabic.com
Physical Address
PO Box 5101
, Riyadh 11422
Phone
2258000-2259701
Fax
2259000
Email
shares@sabic.com
Financials FY 2022
Saudi Basic Industries Financials Summary:
Year ended Dec
FY2022
FY2021
FY2020
Sales ($ B)
13
15.2
31.2
Pretax ($)
4.9B
6.7B
873.9M
Net ($)
4.4B
6.2B
17.8M
EPS (SAR)
-
-
0.02
+ Sales were down 14.3% from $15.2 billion in FY2021 to $13 billion in FY2022.
+ Net profit was down 28.3% from $6.2 billion in FY2021 to $4.4 billion in FY2022.
Financials, FY 2022 [year-ended 31 December 2022 ]
Saudi Basic Industries Net Profit down 28%
Release Date: March 02, 2023
Saudi Basic Industries (TASI:2010) reported net profit for the year-ended 31 December 2022 [FY2022] of SAR16.5b ($4.4b), down 28% from SAR23.1b ($6.2b) in the previous year [FY2021].
Annual growth in Revenue and Net Profit
Year-ended
31 December [FY/2022]
31 December [FY/2021]
Revenue, SAR Billion
48.7
56.8
Revenue, $ Billion
13.0
15.2
Growth in Revenue %
-14.3
-51.4
Net Profit, SAR Billion
16.5
23.1
Net Profit, $ Billion
4.4
6.2
Growth in Net Profit %
-28.3
34417.0
Major changes compared with previous year (FY2022 vs FY2021): Favourable Changes:
- Administration expenses to Sales down from 12.1% to 10%
- Total Liabilities to Operating Cash Flow of 2.7 compares favourably with the Joseph Piotroski benchmark of <4. Unfavourable Changes:
- Net profit slumps 28.3% from SAR23.1b ($6.2b) to SAR16.5b ($4.4b)
- Total revenue down 14.3% from SAR56.8b ($15.2b) to SAR48.7b ($13.0b)
- EBIT Margin down from 14.3% to 9.3%
- EBIT to total assets down from 7.9% to 5.9%
- Profit before tax to Sales down from 14.3% to 9.3%
Year-on-year comparison of Performance Ratios [FY2022 vs FY2021]
Five-year record of growth and performance:
In the last 5 years Total Revenue averaged SAR63.3B, EBITDA averaged SAR15.7B and Net Profit averaged SAR13.6B. Compound Annual Growth Rate (CAGR) averaged -1.7% for Total Revenue, -2.2% for Net Profit and -2.5% for EBITDA.
Description
Annual (SAR B)
5-year Avg (SAR B)
5-year CAGR %
Total Revenue
48.7
63.3
(1.7)
EBITDA
18.5
15.7
(2.5)
Operating Profit
18.5
15.7
(2.5)
Net Profit
16.5
13.6
(2.2)
Five-year record of EBITDA, Operating Profit, Net Profit, ROE, ROA and ROCE
In 2022 Net Profit Margin of 8.3% was below its 5-year Avg of 25.6% (All Figures in %)
Description
2022
5-year Avg
EBITDA Margin
38
29.5
Operating Profit Margin
9.3
29.5
Net Profit Margin
8.3
25.6
Return on Equity
52.4
36.7
Return on Assets
5.3
4.3
Return on Capital Employed
7
5.8
Dividend
Dividend History
In the past 5 years annual dividends have decreased by SAR1.0 from SAR4.4 to SAR3.4. Based on a start date of 5 years ago, there has been two increases in dividends over the last 5 years.
Date
Value (SAR)
Type
13 Feb 2024
1.6
Cash
13 Sep 2023
1.8
Cash
Tr 12 Months
3.4
2022 - 2023
4.25
2021 - 2022
4
2020 - 2021
3
2019 - 2020
4.4
Peer Comparison & Ranking of 2010
BUYSELLSIGNALS FUNDAMENTALS VALUATION RANKING:
Saudi Basic Industries vs Saudi Market
Out of 269 stocks in the Saudi Arabian Market, Saudi Basic Industries is ranked third(3) by ROE, fourth(4) by Net Profit $, fifth(5) by Market Cap in $ and sixth(6) by Revenue.
Saudi Avg
2010
2010 Rank
ROE (%)
22.4
52.4
3
Net Profit $
933.3 M
4.4 B
4
Market Cap $
11.1 B
63 B
5
Revenue $
5.7 B
13 B
6
Yield (%)
4.4
4.3
30
Premium to 52-Wk Low (%)
5.2
6.8
33
EBITDA Margin%
28.2
37.996
46
ROA (%)
6.7
5.3
78
P/Sales
2.4x
4.9x
99
Discount to 52-Wk High (%)
7.8
12.9
132
Price/Net Tangible Assets
2.4x
7.5x
158
Negative values are shown in brackets.
Stock in Index and Stock in Sector
Description
2010
All Share Index (TASI)
% of All Share Index (TASI)
Petrochemical industries sector
% of Petrochemical industries sector
Net Profit $
4.4 B
198.7 B
2.2
7.7 B
57.5
Revenue $
13 B
1,203.8 B
1.1
42.1 B
30.9
Total Assets $
83.5 B
2,960.5 B
2.8
139.3 B
60.0
MCap $
63 B
2,583.9 B
2.4
105.5 B
59.8
Relative Valuation Indicators: Stock vs Index and Stock vs Sector
Description
2010
All Share Index (TASI) Avg.
Petrochemical industries sector Avg.
Yield (%)
4.31
4.88
4.15
Price/Net Tangible Assets
7.49
2.12
3.08
GLOBAL RANK [out of 46,543 stocks] AND RANK OF SAUDI BASIC INDUSTRIES IN THE MIDDLE EAST & AFRICA REGION [out of 1,906 stocks]
Description
Value
Global Rank
In MEA Region
MCap ($)
63B
283
7
Total Assets ($)
83.5B
677
28
Revenue ($)
13B
1,200
21
Net Profit ($)
4.4B
330
15
Return on Equity %
52.4
676
29
Net Profit Margin %
34.0
3,164
340
Price to Book
7.6
32,879
1,317
Yield %
4.3
7,005
527
PV1000 (1Year) $*
912
23,805
1,000
$* Change (1Year) %
-12.4
24,762
1,020
* 1 year ago $1 = SAR 3.75
Apr 25, 2024: $ 1 equals SAR 3.75
RANK OF SAUDI BASIC INDUSTRIES IN THE ALL SHARE INDEX (TASI) [out of 166 stocks], IN THE SAUDI MARKET [out of 281 stocks] AND IN THE PETROCHEMICAL INDUSTRIES SECTOR [out of 12 stocks]
Description
Value
In All Share Index (TASI)
In Saudi Market
In Petrochemical industries sector
MCap (SAR)
236.4B
3
5
1
Total Assets (SAR)
313.1B
9
9
1
Revenue (SAR)
48.7B
6
6
2
Net Profit (SAR)
16.5B
4
4
1
Return on Equity %
52.4
3
3
1
Net Profit Margin %
34.0
33
42
4
Price to Book
7.5
126
162
11
Yield %
4.3
19
31
5
PV1000 (1Year) SAR
912
126
159
2
LONG-TERM FUNDAMENTAL RANKING: 3 OUT OF 5 [5 is best]
Saudi Basic Industries is ranked number 1 out of 12 listed petrochemical industries companies in the Saudi Arabia with a market capitalization of SAR236.4 billion ($63 billion).
Within its sector it has a relatively high Price/Sales of 4.9.
Stocks are scored on a set of parameters reflecting fundamental analytical tools involving valuation, size and financial performance. They are ranked according to the average values of those parameters. The highest ranking is 5 and the lowest ranking is 1.
Glossary
ADVT: Average Daily Volume of shares Traded
Annual Return: Dividends Paid In a 12-Month Period/Price at the Beginning of the Period + Capital Gain or Loss over 1 Year/Price 1 Year Ago (%)
Cash/MCap: Cash plus Liquids/Market Capitalisation (times)
Current Ratio: Current Assets/Current Liabilities (times)
Dividend Yield: Dividend Per Share/Share Price (%)
EBIT Margin : Earnings Before Interest and Tax/Revenue (%)
Income during the n years (3/2/1): Dividends received during the Period
Moving Average Price (n periods): Sum of Prices for each Period/Number of Periods
PV1000: Present value of 1000 invested 1 year/'n' years ago
Price Close/Moving Avg Price: Latest Price/Moving Average Price
Price/NTA: Closing Share Price/Net Tangible Assets Per Share (times)
Price/Sales: Share Price/Sales Per Share (times)
Relative Price Change [RPC]: Relative price change is price change of stock with respect to Benchmark Index
Relative Strength (6 Months): Price close today/Price close 6 months ago, then ranked by percentile within the entire market.
Return on Assets: Net Profit/Total Assets (%)
Return on Equity (Shareholders' Funds): Net Profit/Net Assets (%)
TSR: Total Shareholder Returns is expressed as an annualized rate of return for shareholders after allowing for capital appreciation and dividend
Volume Index (VI): Number of shares traded in the period/Average number of shares traded for the period
Volume Weighted Average Price (VWAP): The Volume Weighted Average Price (VWAP) is the summation of turnover divided by total volume in the same period.
Disclaimer: While this document is based on information sources which are considered reliable, it has been prepared without consideration of your specific investment objectives, financial situation or needs, so you should carry out your own analysis or seek professional investment advice before an investment decision is made. The document contains unbiased, independent equities data and analysis from Jupiter International (Australia) Pty Ltd trading as BuySellSignals (AFS Licence 222756), who provide round the clock analysis on every stock, every sector, every market, every day. BuySellSignals is not a broker, and does not have executing, corporate advisory or investment banking functions. Jupiter International (Australia) Pty Ltd, its directors, employees and contractors do not represent, warrant or guarantee, expressly or impliedly, that the information contained in this document is complete or accurate.
Data for the BuySellSignals algorithms is drawn from annual reports, company websites and similar sources of publicly available data. It should be used as a guide only.
