Income from operations for the quarter totalled $1.24bn a 4% decrease quarter-over-quarter and a 53% decrease versus the same quarter last year. Net income for the third quarter was $0.22bn, representing a 61% decrease quarter-over-quarter and an 86% decrease year-over-year.Announcing the results at a press conference held in SABIC headquarters, Yousef Al-Benyan, SABIC vice chairman and CEO, said: “A challenging business environment exerted a downward pressure on petrochemical prices in the third quarter of 2019, due to slower global growth coupled with additional new capacities in key product lines coming on-stream together with a decline in oil prices”
Al-Benyan added: “We are confident about the long-term prospects of the industry and remain focused on prioritising our discretionary growth projects while retaining our strong credit rating. In this context, we recently celebrated the ground-breaking ceremony for the petrochemical joint venture project with ExxonMobil in the US Gulf Coast. In addition, we remain focused on capital discipline to support our dividends while we continue to invest in the reliability and safety of our assets.”Al-Benyan expressed appreciation to the government and to Saudi Aramco for their support and swift restoration of gas supplies to normal levels after the temporary disruption to gas feedstock supply in Saudi Arabia in September. Al-Benyan said: “We are grateful for their support and commitment during this time. The disruption of the gas feedstock was unfortunate, but the minimised impact nonetheless demonstrated our resilience, ability to capitalise on our global supply chain and the strength of our global operations.”
Al-Benyan noted important achievements for SABIC: Recently, the company obtained regulatory approvals to merge Saudi Petrochemical Company (SADAF) with Arabian Petrochemical Company (PETROKEMYA).Al-Benyan also highlighted how SABIC’s commitment to sustainability and innovation are bringing circular polymers into day-to-day life. The company recently launched its TRUCIRCLE initiative which encompasses circular materials and technologies and enables leading brand owners to develop consumer products that leverage SABIC’s certified circular polymer solutions.
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