Saudi Basic Industries Corporation (Sabic), one of the world's biggest petrochemicals companies, has registered a solid revenue of SR198.47 billion ($52.92 billion) for FY 2022, up 13% over the previous year, driven primarily by higher sales volume which rose 9% and also an increase in average selling prices by 4%.

Announcing its financial results for the 12-month period ended December 31, 2022, Sabic said its ebitda amounted to SR38.57 billion [$10.29 billion] in the full year of 2022, representing a decrease of 20%, compared to the full year of 2021.

This was primarily due to higher feedstock prices in addition to the increase in selling and distribution costs, it stated.

This resulted in an ebitda margin of 19% in full year of 2022, lower than previous year's margin of 28%.

However its net income "attributable to Sabic shareholders" for the 12-month period period fell 28% to SR16.53 billion [$4.41 billion] from the previous year's figures of SR23.07 billion [$6.15 billion].

Sabic said after adjusting for non-recurring items, the full year 2022 net income stood at SR17.43 billion [$4.65 billion], which was 27% lower than the adjusted net income of SR23.82 billion [$6.35 billion] achieved in the previous year.

To date, Sabic's value accretion in connection with the acquisition of the 70% stake by Saudi Aramco in June 2020 amounts to SR4.31 billion [$1.15 billion] including an incremental value of SR2.76 billion [$735 million] generated in 2022, it added.

On its Q4 performance, the Saudi petrochemical giant said its revenue for the three-month period ended December 31, 2022, fell 8% to SR42.98 billion [$11.46 billion] compared to the previous quarter and 16% down compared to 2021.

The average sales prices in the fourth quarter of 2022 decreased by 9% compared to Q3, while its ebitda stood at SR4.73 billion [$1.26 billion], down 34% quarter-over-quarter and 63% over 2021.

Income from operations of SR0.51 billion [$0.14 billion] was 86% lower than the income from operations of SR3.65 billion [$0.97 billion] in the previous quarter, and a 94% decrease compared with the income from operations of SR8.40 billion [$2.24 billion] in the fourth quarter of 2021.

The net income for Q4 was SR0.29 billion [$0.08 billion], or SR0.10 per share, translating into an 84% decrease compared to the net income of the previous quarter of SR1.84 billion.

On the results, Acting CEO Abdulrahman Al Fageeh said: "Sabic 2022 results remain strong despite challenging market conditions. Our sales volumes continue to grow, exceeding the previous year’s sales by 9% and driven by growth projects, improved reliability, inventory optimization and synergies with Saudi Aramco."

Sabic, he stated, continued to be a leader in sustainable solutions over the course of 2022, leading and collaborating on several new milestones in its journey toward carbon neutrality.

"At the beginning of 2022, we introduced Bluehero - an expanding ecosystem of materials, solutions, expertise, and programs aimed at helping accelerate the world’s energy transition to electric power - and a partnership with BASF and Linde to build the world’s first demonstration plant for large-scale electrically heated steam cracker furnaces," he added.

Building on this momentum, Al Fageeh said Sabic Agri-Nutrients and Aramco shipped the world’s first commercial accredited low-carbon blue ammonia to South Korea in November.

"This first-of-its-kind shipment – directly in line with Saudi Vision 2030’s emphasis on low-carbon fuels and products – followed Sabic Agri-Nutrients and Aramco receiving the world’s first independent certifications of blue ammonia and blue hydrogen production," he noted.

Sabic announced the start to study the establishment of a complex to convert oil and liquids into petrochemicals in Ras Al-Khair in the Kingdom of Saudi Arabia, which is expected to convert 400,000 barrels per day of oil into chemicals.

Moreover, both Sabic and ExxonMobil have announced the successful startup of Gulf Coast Growth Ventures world-scale manufacturing facility in Texas.

In November, Sabic inaugurated its new building in Jubail that will expand its local and global presence in the Kingdom and around the world.

Built with Sabic steel and the first carbon neutral building that will accommodate more than 3,600 employees, it will connect the Saudi petrochemical giant's global sites by adopting the latest technologies, including advanced data systems as well as environmental and operational excellence system.