SABIC Announces 25% Surge in Q1 2026 Profits and Executes Exit Strategy from European Operations

SABIC has announced its financial results for the first quarter of 2026, reporting earnings of 4.15 billion Saudi Riyals ($1.11 billion USD) before interest, taxes, depreciation, and amortization, marking a 25% increase compared to the fourth quarter of the previous year. Revenues amounted to 26.15 billion Saudi Riyals ($6.79 billion USD), a 6% decrease on a quarterly basis.

The adjusted operating income rose to 1.45 billion Saudi Riyals ($0.39 billion USD), with an increase of 1.01 billion Saudi Riyals ($0.27 billion USD) quarter-on-quarter. Meanwhile, the adjusted net income reached 816 million Saudi Riyals ($218 million USD), showing a significant increase of 2.21 billion Saudi Riyals ($0.59 billion USD).

In statements from SABIC's CEO, Dr. Faisal bin Mohammed Al-Faqeer, he emphasized the company's ongoing progress in line with its strategic vision, highlighting the importance of commitment to operational excellence and environmental and safety practices. He also noted the company's outstanding performance in incident rates, recording 0.08, while stressing the commitment to operational safety.

Al-Faqeer also mentioned the continuation of two deals at the beginning of the quarter, focusing on the company's withdrawal from petrochemical operations in Europe and plastics operations in the Americas, reflecting a commitment to enhancing capital allocation efficiency.

In terms of institutional transformation, Al-Faqeer explained that SABIC achieved $220 million in earnings before interest, taxes, and depreciation, aligning with planned objectives. He also confirmed the continuation of SABIC's investments in projects required to enhance production capacity.

Al-Faqeer also announced the signing of a strategic agreement with the joint venture between the Public Investment Fund and Pirelli to manufacture 3.5 million tires annually within the Kingdom, contributing to driving economic growth.