A bad 1Q for SABIC: The Saudi Basic Industries Corp (SABIC) reported a 90% y-o-y fall in net income in 1Q 2023 to SAR 660 mn on the back of pressure on global prices, according to its earnings release (pdf).

Topline takes a hit: Sabic’s revenues plunged 25% y-o-y during the first quarter of the year to SAR 39.7 bn, according to the release. Average sales prices were down by 22% y-o-y in 1Q, while volumes decreased by 3% y-o-y in the same period.

What they said: “We are closely monitoring the changes and the recovery of the global market demand. New capacities in 1Q 2023 are adding more pressure on global prices, while there is limited relief on variable cost. We continue to keep our operating costs under control and maintain our strong balance sheet. Despite current market uncertainties, our determination to deliver on growth, innovation and sustainability remains intact,” SABIC CEO Abdulrahman Al Fageeh said.

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