Al-Jouf Cement Company (3091) has signed two contracts worth approximately 102 million SAR with “Suleiman bin Saleh Almohileb and his Sons Holding Company.”
Details
Al-Jouf Cement clarified that the first contract involves selling its cement products to Suleiman Almohileb, valued at over 70 million SAR for a duration of 12 months.
The second contract entails purchasing a fleet of transport vehicles from Almohileb, worth about 31.8 million SAR.
This will enhance Al-Jouf Cement’s market share and reduce its transportation-related costs.
So What
The company stated that the financial impact of the contracts signed on July 2nd will be positive on its financial statements, starting from the third quarter of this year.
Some Context
Al-Jouf Cement’s net profits rose by 21.2% year-on-year during the first three months of this year, reaching 12.5 million SAR.
The company benefited from an increase in sales volume and average selling prices, despite the rise in average selling costs due to higher fuel prices.
