Qurain Petrochemical Industries Company posts net profit of KD 18.72 million for the first half of 2011

Qurain Petrochemical Industries Company (QPIC) posted strong financial results for the first half ended 30 June 2011 with net profit of  KD 18.72 million. 

Announcing the results, Chairman Sheikh Mubarak Abdullah Al Mubarak Al Sabah said that QPIC Board of Directors approved on 2 August 2011, the financial statements of the company for first half ended 30 June 2011, and the company posted net profit of KD 18,724,189 compared with net profit of KD 1,644,559 for the same half in 2010. The increase is 1039% higher than the profits of same half last year by KD 17,079,630. Earnings per share for the period stood at 17.09 fils per share, compared with earnings per share of 1.50 fils for the same period in 2010. The total assets of the Company stood at KD 211.26 million at 30 June 2011 as compared to KD 193.22 million at 31 December 2010 an increase of 9% or KD 18.03 million. Also, Investment in associates has gone up by 17 % (KD 6.83 million during this period). 

It is also to be noted that QPIC Chairman Sheikh Mubarak announced the approval by QPIC board to change its financial year to suit the company’s sources of income in the company’s affiliates and partners in order to give a better indication of QPIC performance during the year. Starting from 2011 the financial year will end on 31^st of March each year, with the exception of the current year which will end on 31 March 2012 (15 months). 

Regarding The PTA/PET project, Sheikh Mubarak indicated that QPIC applied officially to the Royal Commission for Jubail & Yanbu in the Kingdom of Saudi Arabia, requesting to establish the project in Jubail II Area, and approvals is expected to be received soon. Along with that, QPIC is currently contacting world leading consultancy agencies in preparation to conduct project’s detailed feasibility study as well as engaging with technical partner to operate the estimated US$1 Billion project. 

QPIC Chairman Also noted that the Paraxylene project (KPPC) is still suffering from low results specially during June and July of this year which resulted in decreasing the project’s profitability compared to the first quarter of the current year. The project is constantly facing difficulties to continue due to Kuwait Petroleum Company (KPC) not reviewing the projects main agreements with related parties, despite the fact that the assigned team to conduct a study about the project’s status have finished and presented the proper solutions to fix the project’s situation. 

Regarding the company’s future plans, he stated that QPIC is actively investigating new opportunities in the GCC and Middle east region, as well as seeking new partnerships with well reputed entities and major financial consulting agencies to pick viable and reliable investments.