The preliminary financial results of Al Yamamah Steel Industries Company “Yamamah Steel” revealed that it turned into a loss during the fiscal year ending on September 30, 2022, compared to a net profit that the company recorded in the same period last year.

According to the company’s preliminary financial results, the net loss after zakat and tax amounted to about 26.66 million riyals, compared to a net profit of 207.83 million riyals in the comparative fiscal year of last year.

The company said that the reason for the loss was due to the increase in the cost of raw materials for the construction and electricity sectors by 55.78% and 14.74%, respectively. As well as to the decrease in the quantity and value of sales of the construction sector by 33.74% and 19.63%. In addition to the decrease in selling prices because of the sharp decline in global iron ore prices during the third and fourth quarters of the fiscal year 2022due to the Russian-Ukrainian war repercussions and its impact on the global economy.

The company had recorded a decrease in its net profits during the third quarter in the period ending on June 30, 2022, by 99.15%, as the net profit after zakat and tax amounted to about 0.55 million riyals, compared to 65.06 million riyals in the comparative quarter of last year.