(MENAFN- Arab Times) WAIT CITY July 22 (KUNA): Qurain Petrochemical Industries Company (QPIC) has announced a net profit of KD 930.000 ($3.3 million) for the first quarter of the 2014/2015 financial year that ended June 30 2014. This represents a decrease of 77.6% or KD 3.2 million ($11.4 million) from the KD 4.15 ($14.7) million net profit posted during the same period last year mainly due to poor performance from Kuwait Paraxylene Production Co. (KPPC). Earnings per share (EPS) for the quarter stood at 0.88 fils ($3.1 cents) compared to an EPS of 3.89 fils ($13.8 cents) in the previous fiscal year. QPIC's Chairman Sheikh Mubarak Abdullah Al-Mubarak Al-Sabah said 'The main two contributors in achieving these results were the higher share of income received from Saudia Dairy and Foodstuff Co. (SADAFCO) in addition to the realized gains on partial sale of QPIC's portfolio shares. Variance in comparison with last year's performance is mainly attributed to Kuwait Aromatics Company's lower share of income driven by KPPC's poor profitability.' 'We are looking with hope at the Kuwaiti government's initiatives to develop the local oil and gas sector with the intention of accelerating the development of the local industry. This will serve to support this vital sector so that it may counter any future challenges with new global technologies and shale gas explorations being that QPIC is actively seeking new partnerships with reputed entities and major financial consulting agencies to select viable investment opportunities across the GCC and the Middle East region' he added. QPIC's Vice-Chairman and Chief Executive Officer Sadoun Ali said meanwhile said 'Sales revenues at KD 1 million ($3.54) million have increased by 7.5%. Total assets stood at KD 358.8 million ($1271 million) as at 30 June 2014 compared to KD 364.3 million ($1290 million) on 31 March 2014.' 'Investments in associate companies increased by 0.2% or KD 0.26 million ($0.92 million) during the said period owing to the net increase in share of profits from SADAFCO and National Petroleum Services Co. (Napesco).' 'Following KPPC's impressive performance during the previous year due to its products reaching their cyclical peak prices the anticipated downturn in its products' prices have started effecting its performance and profitability which significantly dropped during the year. QPIC remains waiting for Kuwait Petroleum Corporation's intervention in order to resolve the pending issues and restructure the company to prevent the project from faltering' he added.
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