In a significant financial downturn, Watani Steel, a prominent in the production and manufacturing of billet and rebar, experienced a staggering 91% decline in net profits. By the close of 2023, their profits dwindled to 4.2 million Saudi riyals ($1.12 million), a stark contrast to the robust 49.6 million riyals ($13.23 million) achieved in the previous year.
Watani Iron Steel Co ranked 469th on the 2023 Fortune Arabia 500 list, which ranks the 500 largest companies in the Arab region and North Africa in terms of annual revenue. The Saudi company's revenue reached SAR 595.64 million (USD 158.69 million) in 2022.
The company’s financial woes were exacerbated by a combination of factors, including subdued demand, reduced sales volumes, and plummeting steel prices. These challenges led to a sharp contraction in end product profit margins, further compounded by global inflation and rising interest rates. Despite these setbacks, Watani Steel remains committed to navigating the volatile market landscape and adapting to the evolving economic climate
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