Saudi Basic Industries Corporation: Company Profile and SWOT Analysis

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Saudi Basic Industries Corporation: Company Profile and SWOT Analysis
Saudi Basic Industries Corporation



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Saudi Basic Industries Corporation Financial Snapshot



Operating Performance

Fast Facts

The company reported revenues of US$40,417.56

Headquarters Address P.O. Box 5101, Riyadh, 11422,Saudi Arabia

million during 2010, with a CAGR of 15.11% during

2006–2010. Its revenue grew at an annual rate of

Telephone + 966 1 2258000

47.00% over the previous fiscal year. In 2010, the

company recorded an operating margin of 24.93%, as

Fax + 966 1 2259000 against 18.24% in 2009.



Website www.sabic.com

Revenue and Margins

Ticker Symbol, Stock Exchange 2010, Saudi Arabian Stock Exchange



Number of Employees 12,413



Fiscal Year End December



Revenue (in US$ million) 40,417.56



Revenue (in SAR million) 151,970.03









SWOT Analysis



Strengths Weaknesses



Efficient Use of Resources Declining Market Share in Sector



Geographic and Product Diversification Limited Investor Confidence



Strong Growth Prospects Low Return on Equity



Overdependence on the

Strong Liquidity Position

Petrochemicals Segment



Strong Liquidity Position



Strong Market Position



Strong Operating Margin



Strong Operating Margin



Opportunities Threats



Expansion in High Growth Markets Environmental Regulations



Introduction of Supply Chain

Global Economic Slowdown

Management Program



Strategic Agreements Growing Competitive Market









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Saudi Basic Industries Corporation - SWOT Profile Page 1

Saudi Basic Industries Corporation



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TABLE OF CONTENTS



1 Business Analysis ................................................................................................................................... 5

1.1 Company Overview ................................................................................................................................................5

1.2 Business Description ..............................................................................................................................................5

1.3 Major Products and Services .................................................................................................................................6

2 Analysis of Key Performance Indicators ............................................................................................... 8

2.1 Five Year Snapshot: Overview of Financial and Operational Performance Indicators ..........................................8

2.2 Key Financial Performance Indicators .................................................................................................................11

2.2.1 Revenue and Operating Profit .........................................................................................................................11

2.2.2 Asset, Liabilities and Capex .............................................................................................................................12

2.2.3 Net Debt vs. Gearing Ratio ..............................................................................................................................13

2.2.4 Operational Efficiency ......................................................................................................................................14

2.2.5 Solvency ..........................................................................................................................................................15

2.2.6 Valuation ..........................................................................................................................................................16

2.3 Key Competitors ...................................................................................................................................................17

3 Mergers & Acquisitions and Partnerships ........................................................................................... 18

3.1 M&A and Partnerships Strategy ...........................................................................................................................18

4 SWOT Analysis ...................................................................................................................................... 20

4.1 SWOT Analysis - Overview ..................................................................................................................................20

4.2 Strengths ..............................................................................................................................................................20

4.3 Weaknesses .........................................................................................................................................................21

4.4 Opportunities ........................................................................................................................................................21

4.5 Threats .................................................................................................................................................................22

5 History .................................................................................................................................................... 23

6 Saudi Basic Industries Corporation - Key Employees ........................................................................ 24

7 Key Employee Biographies................................................................................................................... 25

8 Locations and Subsidiaries .................................................................................................................. 26

8.1 Head Office ..........................................................................................................................................................26

8.2 Other Locations and Subsidiaries ........................................................................................................................26

9 Appendix ................................................................................................................................................ 28

9.1 Methodology .........................................................................................................................................................28

9.2 Ratio Definitions ...................................................................................................................................................28

9.3 Disclaimer.............................................................................................................................................................32









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Saudi Basic Industries Corporation - SWOT Profile

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