What was Southern Province Cement's revenue in Q1 2026?

Revenue reached SAR 203 million, down 7.73% from the same quarter in 2025.

Did Southern Province Cement post a profit or loss in Q1 2026?

The company reported a net loss of SAR 4 million, compared to a net profit of SAR 16 million in the same period last year.

How did the company's loss change compared to Q4 2025?

The loss improved 95.70% from SAR 93 million in Q4 2025 to SAR 4 million in Q1 2026.

What was Southern Province Cement's EPS in Q1 2026?

EPS was negative SAR 0.03, compared to SAR 0.12 in the same quarter of 2025.

Southern Province Cement Posts SAR 4M Net Loss in Q1 2026

Q: What caused Southern Province Cement's swing to loss in Q1?

The main reasons were lower revenues and higher cost per unit sold due to increased production input costs and reduced production line utilization.

Southern Province Cement Co. (3050) reported a net loss of SAR 4 million for the first quarter of 2026, compared to a net profit of SAR 16 million in the same period last year, driven by lower sales and higher costs.

Southern Province Cement Co. (3050) announced its interim financial results for the three months ended March 31, 2026, posting a net loss of SAR 4 million versus a net profit of SAR 16 million in the year-ago period. Revenue declined 7.73% year-on-year to SAR 203 million.

Key Financial Results

Item	Current Quarter (SAR M)	Comparable Quarter 2025 (SAR M)	Change %	Previous Quarter (SAR M)	Change %
Revenue	203	220	-7.73%	234	-13.25%
Net Profit (Loss)	(4)	16	-125%	(93)	+95.70%
EPS (SAR)	(0.03)	0.12	-125%	(0.79)	+96.20%

Key Highlights from the Statement

The company attributed the annual revenue decline to lower local sales volume. It swung from a net profit of SAR 16 million to a net loss of SAR 4 million, driven by lower revenues and higher cost per unit sold due to increased production input costs and reduced production line utilization. Higher selling, distribution, general and administrative expenses and lower financing income also weighed, despite a reduction in zakat provision.

Quarter-on-quarter, the net loss improved 95.70% from SAR 93 million to SAR 4 million, primarily due to lower cost of sales resulting from inventory adjustments for work-in-process and raw materials in the previous quarter, plus depreciation adjustments for old production lines replaced by a new line.

Guidance

The company did not provide specific forward guidance.

Impact on the Stock

The stock is likely to face pressure given the swing to loss and declining revenue. However, the significant sequential improvement in net loss may temper negative sentiment.

What This Means for Investors

The results highlight ongoing operational challenges, particularly cost pressures and weak demand. Investors should monitor cost-cutting initiatives and demand recovery to assess the company's turnaround prospects.