The Saudi Basic Industries Corporation (SABIC) reported preliminary consolidated financial results for the quarter that ended March 31, 2009, according to its press release issued here yesterday. The net loss for the quarter was SR 974 Million, compared to net income of SR 6.924 billion in the same period of 2008. The net loss for the quarter is after a ‘non-cash' charge related to the impairment of goodwill amounting to SR 1.181 billion. The net income before the ‘non-cash' charge related to impairment of goodwill was SR 207 Million. The ‘non-cash' impairment charge does not have any impact on the cash flows. The continued decline in prices for most petrochemical products and metals led to a decline in the profitability during the first quarter of 2009 compared to the same period last year. The income from operations for the first quarter of 2009 was SR 380 Million compared to SR 10.891 billion in same period of 2008. The loss per share for the quarter ended March 31, 2009 was SR 0.33 compared to earnings per share of SR 2.31 for the same period in 2008. --MORE
