Saudi Arabia’s Molan Steel Co. reported a 48pct YoY increase in net losses for 2024, according to a stock exchange filing. The company posted a net loss of SAR 7.07 mln (USD 1.88 mln), up from SAR 4.78 mln in the previous year.
Sales revenue fell 3.71pct YoY to SAR 86.3 mln (USD 22.9 mln).
The higher losses were attributed to provisions for inventory, accounts receivable, and advance payments totaling SAR 2.34 mln (USD 0.62 mln) related to its recent acquisition of white goods manufacturer Mayar International Industry.
Additionally, declining steel prices in 2024 weighed on sales and profit margins, while higher financing costs further impacted the company’s financial performance.
Molan Steel is a major supplier of steel products for the construction and fabrication sectors in the Middle East region.
1 USD / 3.75 SAR