Saudi Maaden H1 profit up 73% on higher sales; revenue hits $4.8bn

08/08/2025 03:14 AST

Saudi Arabian Mining Company (Maaden) has reported a 73% jump in its net profit for the first half, which soared to SAR3.47billion ($924 million) from SAR2.01 billion ($535 million) last year, mainly driven by higher consolidated sales volumes and stronger commodity prices.

Announcing the financial results for the six-month period ended June 30, 2025, Maaden said its revenue too registered solid growth hitting SAR17.93 billion ($4.8 billion), up 23% over last year's figure of SAR17.93 billion.

The revenue growth was mainly boosted by the jump in phosphate and flat-rolled aluminum sales, as well as improved market pricing. Ebitda also increased 23% to SAR7.25 billion, marking the company's second-highest first-half result on record.

The Saudi mining giant had generated SAR3.93 billion in operating cash flow during the period and ended the first half with SAR10.37 billion in cash and equivalents. The company's net debt-to-ebitda ratio stood at 1.7x, below its target range.

Among its key achievements for H1 was Maaden's subsidiary, Maaden Wa'ad Al Shamal Phosphate Company (MWSPC) making an early debt repayment of SAR2.1 billion, representing around 6% of Maaden's total consolidated debt.

On its Q2 operational highlights, the state-backed miner said it included record quarterly production of diammonium phosphate (DAP) and progress across several strategic initiatives.

In July, Maaden completed the acquisition of a 25.1% stake in Maaden Aluminum Company and Maaden Bauxite and Alumina Company from US-based Alcoa, giving it full ownership of both assets.

The company also approved a final investment decision to proceed with its Ar Rjum gold project in the Central Arabian Gold Region, expected to produce around 300,000 ounces of gold annually.

Exploration activity accelerated in the Wadi Al Jaww region, with the company citing promising initial results. Maaden also signed a MoU with U.S.-based MP Materials to explore development of a fully integrated rare earths supply chain in the Kingdom.

Additionally, it signed a five-year deal to supply 3.1 million metric tonnes of DAP annually to three major Indian fertilizer firms, securing off-take for roughly half its annual DAP production.

On the solid performance, CEO Bob Wilt said Maaden was well positioned to deliver a strong second half as it pursues its growth strategy and continues to develop Saudi Arabia's mineral resources.

"During the first half of 2025, we delivered the second highest H1 ebitda, maintained strong momentum in our pursuit of operational excellence by setting record quarterly production in Phosphate, achieving ongoing exploration successes, advancing projects and building key partnerships," he noted.

"We fully consolidated our aluminum portfolio in MAC and MBAC, closing the acquisition of the remaining 25.1% of Alcoa's stake post period on July 1 2025. Also we are moving forward with the Ar Rjum project toward FID, which will allow us to develop a new gold asset expected to produce around 300,000 ounces annually in the Central Arabian Gold Region," stated Wilt.

"We also continue to uncover more of the KSA's mineral wealth as we accelerate exploration in Wadi Al Jaww, driven by promising initial results." said the top official.

"Looking ahead, I am confident that we will deliver strong results in the second half of 2025 as we progress our growth strategy, drive forward with our exploration program and maintain operational excellence across our businesses. We remain committed to creating long-term value for shareholders and profitably advancing mining as the third pillar of Saudi Arabia's economy," he added.

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