Saudi chemicals maker Sabic returns to profit as demand recovers

Saudi chemicals maker Sabic returns to profit as demand recovers

Sabic recorded third-quarter profit of $290m compared with $197m in the same period last year

Saudi Basic Industries Corp., the chemical maker in which Saudi Aramco holds a majority stake, returned to profit in the third quarter amid signs of a recovery in demand from impact of the coronavirus.

The company, known as Sabic, said third-quarter profit was SAR1.09 billion ($290 million) compared with SAR740m ($197m) in the same period last year. Profit was higher mainly due to the reversal of SAR690m (184m) of impairments associated with Clariant AG, in which Sabic holds a 31.5 percent stake. Revenue in the three months to the end of September fell 11 percent to SAR29.3bn ($7.8bn).

Even as Sabic said it benefited with the global economy rebounding from the impact of lockdowns to stop the pandemic,