Advanced Petrochemical Co. — Earnings Release 2021

Apr 6, 2021

ADVANCED PETROCHEMICAL COMPANY ANNOUNCES THE ESTIMATED FINANCIAL RESULTS FOR THE PERIOD ENDED ON 31 MARCH 2021 (THREE MONTHS)

2330 · 06/04/2021 09:06:44 · Announcement #62679 · View on Saudi Exchange

ADVANCED PETROCHEMICAL COMPANY ANNOUNCES THE ESTIMATED FINANCIAL RESULTS FOR THE PERIOD ENDED ON 31 MARCH 2021 (THREE MONTHS)

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Sales/Revenue	632	535	18.13	633	-0.157
Gross Profit (Loss)	207	154	34.415	217	-4.608
Operational Profit (Loss)	164	125	31.2	175	-6.285
Net Profit (Loss) after Zakat and Tax	171	104	64.423	180	-5
Total Comprehensive Income	205	-113	-	240	-14.583
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Total Share Holders Equity (after Deducting Minority Equity)	3,343	2,956	13.092
Profit (Loss) per Share	0.79	0.48
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	Net profit for Q1 2021 is increased by 64% compared to Q1 2020 mainly due to the following:

- Increase in Polypropylene sales prices by 36%.

- Increase in Share of profit on investment in SK Advanced Co Ltd. (affiliated company in South Korea) by 187%.

- The above increase in net profit is despite of the decrease in sales volumes by 13% resulting from a periodic scheduled maintenance in Q1 2021, increase in Propane and outsourced Propylene prices by 22% and 11% respectively, higher consumption of outsourced Propylene by 126%, increase in general and administrative expenses by 65%; and increase in finance charges resulting from borrowings to finance the Company's equity investment in the project of Advanced Polyolefins Industry Company.The reason of the increase (decrease) in the net profit during the current quarter compared to the previous period of the current year is Net profit for Q1 2021 is decreased by 5% compared to Q4 2020 mainly due to the following:

- Reduction in Polypropylene sales volumes by 24% resulting from a periodic scheduled maintenance in Q1 2021.

- Increase in Propane and outsourced Propylene prices by 40% and 11% respectively.

- Reduction in Share of profit on investment in SK Advanced Co Ltd. by 33%.

- The above decrease in net profit is despite of the increase in Polypropylene sales prices by 32% and decrease in consumption of outsourced Propylene by 30%.Statement of the type of external auditor's report Unmodified conclusionModification, Qualification or Emphasis of a Matter as Stated within the External Auditor Opinion These estimated financial results for the period ended on 31 March 2021 are prepared by the management of the Company and these results are not reviewed by the external auditors.Reclassification of Comparison Items Not ApplicableAdditional Information Q1 2021 net profit also includes SR 16 million share of profit on investment in SK Advanced Co. Ltd. in South Korea compared to SR 18 million losses for the same quarter of the last year and SR 24 million profit for previous quarter.

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