Saudi’s Ma’aden reports a 16% rise in Q1 revenue due to higher commodity prices and more sales
The Saudi Arabian Mining Company (Ma’aden) saw a 16% rise in revenue, reaching \$2.27 billion (SAR8.51 billion) in the first quarter. This increase was mainly due to higher prices for all products and more sales, except for primary aluminum and gold.
Ma’aden Q1 Results
Ma’aden’s net profit grew by 58% to $413.2 million, helped by a $207.4 million increase in profit from higher sales prices and volumes, according to a statement released on Tuesday.
Other factors that helped include higher earnings from joint ventures, lower finance costs, and reduced zakat, income tax, and severance costs.
However, the profit increase was partly offset by higher operating expenses, lower finance income, and the loss of a one-time $53 million insurance claim from last year.
The company’s operational profit increased by 23% to $607.9 million.
Revenue dropped 15% from the previous quarter, mainly due to lower prices for most products, except primary aluminum, flat rolled products, and gold. The decrease was also affected by lower sales volumes for all products except ammonia.
Net profit was higher compared to the last quarter because the previous quarter had a one-time $385 million charge.
Quarterly Highlights
In the first quarter, Ma’aden issued its first international sukuk, raising $1.25 billion. The sukuk was nine times oversubscribed, showing strong demand from investors.
The company also paid off $933.2 million of Ma’aden Phosphate Company sukuk, improving its debt profile and financial flexibility.
Ma’aden made progress in operations, with growth in phosphate and aluminum production and better safety results. Phase I of the Phosphate 3 project is 35% complete, with $933.2 million in contracts awarded.
Gold exploration led to discoveries at Wadi Al Jaww and Jabal Shayban, and there is promising potential at Mansourah-Massarah.
Ma’aden made strategic moves, including acquiring SABIC’s 20.62% stake in ALBA and signing an agreement with Aramco for a joint venture on critical minerals. The company also expanded globally, opening new offices in Brazil, South Africa, and Singapore, and warehouses in Vietnam and Brazil.
Published: 7th May 2025
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