The Saudi Arabian Mining Company (Maaden) incurred huge losses amounting to 353.3 million riyals in the first quarter of 2020, compared to losses of 127 million riyals in the first quarter of 2019, An increase in the value of losses is 177.6%, and compared to losses in the previous quarter, 276.5 million riyals, an increase of 27.7%.
According to ArabiaNet, the value of operating profits in the first quarter amounted to 202.7 million riyals, compared to 484.3 million riyals, in the first quarter of 2019, a decrease of 58%. < / p> Maan said that the increase in losses is due to the decrease in the average prices achieved for all products except for gold, as well as the decrease in the quantities sold of ammonia and alumina products despite the high quantities sold of the rest of the products . In addition to the decrease in the share of net profit in joint ventures, the income from term deposits and the increase in other expenses.
Furthermore, I mentioned the 11% increase in cost of sales due to the increase in sales volume affected the results for this quarter. Also, the increase in selling, marketing and distribution expenses by 7%, general and administrative expenses by 67%, exploration and technical services expenses by 67% affected the results for this quarter in spite of a 20% decrease in financing costs and Zakat and income tax expenses by 61%.
