National Industrialization Company SJSC

National Industrialization Company SJSC maintains a debt-to-equity ratio of 0.68, indicating a moderate reliance on debt financing. The company's liquidity position is characterized as medium, with a current ratio of 1.02, suggesting limited short-term liquidity cushion. Despite holding SAR 2.79 billion in cash and equivalents, the firm's net cash position is negative after subtracting total debt, signaling potential liquidity constraints.

Profitability metrics reveal a return on equity (ROE) of 0.55% and a return on assets (ROA) of 0.21%, both of which are below the industry median for commodity chemicals firms. These figures suggest the company is underperforming in terms of capital efficiency and asset utilization. Gross profit of SAR 94.86 million and operating income of SAR 98.76 million reflect a narrow margin structure, consistent with the low-margin nature of the commodity chemicals industry.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic fluctuations and regulatory changes in Saudi Arabia. No material revenue is attributed to international markets, and the firm does not report segment-specific performance data.

Looking ahead, the company is expected to maintain a stable revenue trajectory, with no significant growth or contraction projected in the current or next fiscal year. Capital expenditures of SAR 66.31 million in the latest period suggest ongoing investment in production capacity, but the scale of spending is modest relative to total assets. Free cash flow of SAR 116.69 million indicates the company is generating positive cash from operations after capital spending, though the amount is relatively small.

The risk assessment highlights liquidity as a medium concern, with the firm's cash reserves insufficient to cover total debt. Dilution risk is assessed as low, with no recent or disclosed share issuance activity and no material dilution potential in the near term. The company's capital structure remains stable, with no signs of aggressive equity dilution or debt accumulation.

Recent filings and transcripts do not disclose any material events or strategic shifts. The company's financial performance remains consistent with historical trends, and no significant operational or regulatory developments have been reported in the latest available data.

Operating and net margins exceed the Commodity Chemicals cohort median, indicating superior profitability relative to peers.

The debt-to-equity ratio of 0.68 is below the cohort median of 0.31, suggesting a conservative leverage position.

Analysts assign a mean price target of 9.86 SAR, implying limited downside risk from the current market price.

Dilution risk is assessed as low, providing reassurance to existing shareholders regarding potential equity issuance.

The company maintains a positive book value of 9.5 billion SAR, providing a tangible asset base for investors.

Free cash flow turned negative at -1.3 billion SAR, indicating an inability to generate cash from operations.

Return on equity of 0.55% is well below the cohort median of 3.61%, showing poor capital efficiency.

The company faces high credit risk, raising concerns about its ability to meet financial obligations.

Revenue SAR 495.0M, −23,6% YoY; Operating income −123,1% YoY.

• ▍Revenue SAR 495.0M, −23,6% YoY
• ▍Operating income −123,1% YoY
• ▍Net income −138,1% YoY
• ▍Free cash flow −126,5% YoY
• ▍Net margin -68.9%

Revenue SAR 859.7M, −16,5% YoY; Operating income −583,3% YoY.

• ▍Revenue SAR 859.7M, −16,5% YoY
• ▍Operating income −583,3% YoY
• ▍Net income −727,2% YoY
• ▍Free cash flow −600,4% YoY
• ▍Net margin -65.0%

Revenue SAR 808.9M, −19,7% YoY; Operating income −147,8% YoY.

• ▍Revenue SAR 808.9M, −19,7% YoY
• ▍Operating income −147,8% YoY
• ▍Net income −224,6% YoY
• ▍Free cash flow −150,9% YoY
• ▍Net margin -8.1%

Revenue SAR 648.2M; Operating income SAR 1.86B.

• ▍Revenue SAR 648.2M
• ▍Operating income SAR 1.86B
• ▍Net margin 138.2%

Revenue SAR 226.4M; Operating income -SAR 523.5M.

• ▍Revenue SAR 226.4M
• ▍Operating income -SAR 523.5M
• ▍Net margin -43.2%

Revenue SAR 1.03B; Operating income SAR 135.9M.

• ▍Revenue SAR 1.03B
• ▍Operating income SAR 135.9M
• ▍Net margin 8.7%

Revenue SAR 1.01B; Operating income SAR 98.8M.

• ▍Revenue SAR 1.01B
• ▍Operating income SAR 98.8M
• ▍Net margin 5.2%

Revenue SAR 2.49B, −17,7% YoY; Operating income −314,4% YoY.

• ▍Revenue SAR 2.49B, −17,7% YoY
• ▍Operating income −314,4% YoY
• ▍Net income −6 220,5% YoY
• ▍Free cash flow −551,9% YoY
• ▍Net margin -70.9%

Revenue SAR 3.02B, −15,2% YoY; Operating income −177,6% YoY.

• ▍Revenue SAR 3.02B, −15,2% YoY
• ▍Operating income −177,6% YoY
• ▍Net income −113,8% YoY
• ▍Free cash flow −154,5% YoY
• ▍Net margin -0.9%

Revenue SAR 3.57B, −8,1% YoY; Operating income −68,7% YoY.

• ▍Revenue SAR 3.57B, −8,1% YoY
• ▍Operating income −68,7% YoY
• ▍Net income −69,7% YoY
• ▍Free cash flow −67,1% YoY
• ▍Net margin 5.7%

Revenue SAR 3.88B, +5,7% YoY; Operating income −47,5% YoY.

• ▍Revenue SAR 3.88B, +5,7% YoY
• ▍Operating income −47,5% YoY
• ▍Net income −50,9% YoY
• ▍Free cash flow −48,4% YoY
• ▍Net margin 17.2%

Revenue SAR 3.67B; Operating income SAR 2.52B.

• ▍Revenue SAR 3.67B
• ▍Operating income SAR 2.52B
• ▍Net margin 36.9%