Half Year 2026 Gulf International Chemicals SAOG Earnings Call
Adnan Khan: No, I haven't started yet. Oh, okay. Just Alaikum salaam. I'm here, joined. But the video is not working for me. No. It doesn't show his name. Sorry? His name doesn't show. Muhammad or Fulai? No, Muhammad. Okay. Okay, I'll start then. If you can make it Can you make it full page? Sorry, say again. Can you make it full page? Full page. It's full page on my screen. Okay. Do you not see full page? I see the presentation, but it is small. No problem. If you see it full, recording is the one you change. Okay. Then I'll start the meeting now. Okay. Assalamu alaikum and good afternoon, everyone. Welcome to the interactive session for the discussion of group unaudited accounts for Q2 ending 30 June 2026. My name is Adnan Khan, and I'm the Finance Manager of the company.
Speaker #1: Owen Scott is it?
Speaker #2: okay.
Speaker #1: I'm just—
Speaker #2: And I joined. If you can make it—can you make it full page? Sorry, say again? Can you make it full page?
Speaker #1: It's full page. It's full page on my screen.
Speaker #2: okay.
Speaker #1: Do you not see the full page?
Speaker #2: I see the presentation, but it is small.
Speaker #1: No problem. If you see it in full, the recording is the one you see.
Speaker #2: Okay.
Speaker #1: Okay, then I'll start the meeting now.
Speaker #2: Okay.
Speaker #1: As-salamu alaykum and good afternoon, everyone. Welcome to the interactive session for the discussion of Group Unaudited Accounts for Q2 ending 30 June 2026. My name is Adnan Khan, and I'm the Finance Manager of the company.
Adnan Khan: Assalamu Alaikum and good afternoon, everyone. Welcome to the interactive session for the discussion of group unaudited accounts for Q2 ending 30 June 2026. My name is Adnan Khan, and I'm the Finance Manager of the company.
Speaker #1: These accounts are already disclosed on MSX and published in the newspaper. I would like to discuss these accounts along with my management from Oman and the UAE.
Adnan Khan: These accounts are already disclosed on MSX and published in the newspaper. I would like to discuss these accounts along with my management from Oman and UAE. Before I give a detailed discussion on the accounts, I'll do a brief discussion or give a general overview of the company. I would like to request all participants to keep their mics on mute unless there's a question anytime during the presentation. There will also be a question and answer session at the end of the presentation. This is the content list, which we will be going through. We have company snapshot, our product range, financial position, profitability, expenses, and then question and answer at the end. Gulf International Chemicals. We listed on MSX in 1996. Our activities are manufacture of building and construction chemicals, specialty chemicals, road paints, customized solutions to construction industry.
Adnan Khan: These accounts are already disclosed on MSX and published in the newspaper. I would like to discuss these accounts along with my management from Oman and UAE. Before I give a detailed discussion on the accounts, I'll do a brief discussion or give a general overview of the company. I would like to request all participants to keep their mics on mute unless there's a question anytime during the presentation. There will also be a question and answer session at the end of the presentation. This is the content list, which we will be going through. We have company snapshot, our product range, financial position, profitability, expenses, and then question and answer at the end. Gulf International Chemicals. We listed on MSX in 1996. Our activities are manufacture of building and construction chemicals, specialty chemicals, road paints, customized solutions to construction industry.
Speaker #1: Before I give a detailed discussion on the accounts, I'll do a brief discussion or give a general overview of the company. I would like to request all participants to keep their mics on mute unless there is a question at any time during the presentation.
Speaker #1: There will also be a question-and-answer session at the end of the presentation. This is the content list, which we will be going through.
Speaker #1: We have the company snapshot, our product range, financial position, profitability, and expenses, and then a question-and-answer session at the end. Gulf International Chemicals was listed on the MSX in 1996.
Speaker #1: Our activities are manufacture of building and construction chemicals, specialty chemicals, road paints, customized solutions to the construction industry. Our head office is in Muscat, Rusayl Industrial Area.
Adnan Khan: Our head office is in Muscat, Rusayl Industrial Area. We also have a branch in Sharjah. This is a snapshot of our product range. We are ISO certified. Our product range includes concrete admixture, adhesives, bonding agents, industrial flooring products, protective coatings, joint sealants, concrete surface treatment products, road chemicals. Concrete repair products, waterproofing products, and grouts and anchors. Now we'll start with the review or discussion of the financials. We have our financial position. It's just an abstract of the financial position. Our non-current assets as on 30 June 2026 are OMR 395,856 as compared to OMR 470,000. A 1% decline. This is just amortization and depreciation. No actual change in any other major line item.
Adnan Khan: Our head office is in Muscat, Rusayl Industrial Area. We also have a branch in Sharjah. This is a snapshot of our product range. We are ISO certified. Our product range includes concrete admixture, adhesives, bonding agents, industrial flooring products, protective coatings, joint sealants, concrete surface treatment products, road chemicals. Concrete repair products, waterproofing products, and grouts and anchors. Now we'll start with the review or discussion of the financials. We have our financial position. It's just an abstract of the financial position. Our non-current assets as on 30 June 2026 are OMR 395,856 as compared to OMR 470,000. A 1% decline. This is just amortization and depreciation. No actual change in any other major line item.
Speaker #1: We also have a branch in Sharjah. This is a snapshot of our product range. We are ISO certified. Our product range includes concrete admixtures, additives, bonding agents, industrial flooring products, protective coatings, joint sealants, concrete surface treatment products, road chemicals, concrete repair products, waterproofing products, and grouts and anchors.
Speaker #1: So, now we'll start with the review or discussion of the financials. We have our financial position—it's just an abstract of the financial position.
Speaker #1: So, our non-current assets as of 30 June 2026 are 395,856, as compared to 470,000. That's a 1% decline—this is just amortization and depreciation, with no actual change in any other major line item.
Speaker #1: Our current assets are 2,659,662 as compared to 2,502,261, which is a 6% increase as compared to 30 June 2025. This increase is mainly due to our increase in fixed deposits and a higher level of inventory in view of the current geopolitical situations.
Adnan Khan: Our current assets are OMR 265,962 as compared to OMR 250,261, which is a 6% increase as compared to 30 June 2025. This increase is mainly due to our increase in the fixed deposits and higher level of inventory in view of the current geopolitical situations. Which gives an overall 5% increase to our total assets. Our non-current liabilities are, as on 30 June 2026, OMR 99,574 as compared to OMR 101,904 on 30 June 2025. A 2% decline, which again, is just based upon the end of service benefits and lease liability workings, which are periodical.
Adnan Khan: Our current assets are OMR 265,962 as compared to OMR 250,261, which is a 6% increase as compared to 30 June 2025. This increase is mainly due to our increase in the fixed deposits and higher level of inventory in view of the current geopolitical situations. Which gives an overall 5% increase to our total assets. Our non-current liabilities are, as on 30 June 2026, OMR 99,574 as compared to OMR 101,904 on 30 June 2025. A 2% decline, which again, is just based upon the end of service benefits and lease liability workings, which are periodical.
Speaker #1: This gives an overall 5% increase to our total assets. Our non-current liabilities as of 30 June 2026 are 99,574, compared to 101,904 on 30 June 2025—a 2% decline. This change is mainly due to the end-of-service benefits and lease liabilities workings, which are periodical in nature.
Speaker #1: Our current liabilities are 280,510 as of 30 June 2026, compared to 177,554 last year—a 59% increase. Again, this increase is mainly because we have been buying higher levels of inventory, so our trade payables have increased.
Adnan Khan: Our current liabilities, OMR 285,510,000 as on 30 June 2026 as compared to OMR 177,554,000 last year, a 59% increase. This increase is mainly because we have been buying higher levels of inventory, so our trade payables have increased. There is slight delay in the payments to the suppliers, only because our buying is more than regular. It has increased as compared to previous years. The total equity and liability is OMR 305,516,000 as compared to OMR 290,298,000, which is a 5% increase on the total equity as compared to last year. This is a graphical representation of our financial assets. The blue is 2026, yellow is 2025.
Adnan Khan: Our current liabilities, OMR 285,510,000 as on 30 June 2026 as compared to OMR 177,554,000 last year, a 59% increase. This increase is mainly because we have been buying higher levels of inventory, so our trade payables have increased. There is slight delay in the payments to the suppliers, only because our buying is more than regular. It has increased as compared to previous years. The total equity and liability is OMR 305,516,000 as compared to OMR 290,298,000, which is a 5% increase on the total equity as compared to last year. This is a graphical representation of our financial assets. The blue is 2026, yellow is 2025.
Speaker #1: And there's a slight delay in the payments to the suppliers, only because our buying is more than regular. It has increased as compared to previous periods.
Speaker #1: So, total equity and liability is 3,055,516 as compared to 2,902,98, which is a 5% increase on the total equity as compared to last year.
Speaker #1: This is a graphical representation of our financial assets. The blue is 2026; yellow is 2025. So it's just showing total non-current assets, total assets, total capital and reserve, total non-current liabilities, current liabilities, and total equity and liabilities.
Adnan Khan: It is just showing total non-current assets, total assets, total capital and reserve, total non-current liabilities, current liabilities, and total equity and liabilities. Now come the income statement. Our revenue as on 30 June 2026 is OMR 927,584,000 as compared to OMR 799,386,000 last year, which is a 10% increase. We have our cost of revenue, which is OMR 608,709,000 as compared to OMR 502,801,000, which is also 11% increase. Our percentage on sales, gross profit on percentage of sales is 34% for both years. Our margins are more or less almost same, 34% for both each other, but the values have significantly increased.
Adnan Khan: It is just showing total non-current assets, total assets, total capital and reserve, total non-current liabilities, current liabilities, and total equity and liabilities. Now come the income statement. Our revenue as on 30 June 2026 is OMR 927,584,000 as compared to OMR 799,386,000 last year, which is a 10% increase. We have our cost of revenue, which is OMR 608,709,000 as compared to OMR 502,801,000, which is also 11% increase. Our percentage on sales, gross profit on percentage of sales is 34% for both years. Our margins are more or less almost same, 34% for both each other, but the values have significantly increased.
Speaker #1: Non-current income statement. So, our revenue as of 30 June 2026 is 927,584, as compared to 799,386 last year, which is a 10% increase. And then we have our cost of revenue, which is 608,719 as compared to 528,013.
Speaker #1: Which is also an 11% increase. So, our gross profit as a percentage of sales is 34% for both years. Our margins are more or less the same, 34% each year, but the values have significantly increased.
Speaker #1: Our other income is 24,532 as compared to 24,514, which is almost the same, just a 3% change, because our other income is coming from fixed sources.
Adnan Khan: Our other income is OMR 24,532,000 as compared to OMR 24,501,000, which is almost same, just 3% change, because our other income is coming from fixed sources, so it is not changing from period to period. Our general and admin expenses are OMR 202,809,000 as compared to OMR 185,551,000, a 6% decrease. Selling and distribution, OMR 87,383,000 as compared to OMR 78,546,000, 3% decrease. Finance income, OMR 38,224 as compared to OMR 24,801, 15% increase. Finance income is from fixed deposits, so we have increased the deposit this year, so that is why we have a higher interest rate.
Adnan Khan: Our other income is OMR 24,532,000 as compared to OMR 24,501,000, which is almost same, just 3% change, because our other income is coming from fixed sources, so it is not changing from period to period. Our general and admin expenses are OMR 202,809,000 as compared to OMR 185,551,000, a 6% decrease. Selling and distribution, OMR 87,383,000 as compared to OMR 78,546,000, 3% decrease. Finance income, OMR 38,224 as compared to OMR 24,801, 15% increase. Finance income is from fixed deposits, so we have increased the deposit this year, so that is why we have a higher interest rate.
Speaker #1: So it's not changing from period to period. Our general and admin expenses are 228,902 as compared to 185,551, a 6% decrease. Then selling and distribution expenses are 87,383 as compared to 78,546, a 3% decrease.
Speaker #1: Finance income 38,324 as compared to 24,815, 15% increase. Finance income is from fixed deposits, so we have increased the deposit this year so that's why we have a higher interest rate.
Speaker #1: And then, finance cost and net profit after tax is 48,412 as compared to 49,174, which is almost a 20% decrease. This decrease is just because of the higher cost that we had to pay based on the market situation.
Adnan Khan: Finance cost and net profit after tax is OMR 48,401,000 as compared to OMR 49,174,000, which is almost 20% decrease. This decrease is just because of higher costs that we had to pay based on the market situation. This is a graphical representation of our income statement. Expenses. This is just what we have discussed. Cost of sales, general admin expenses, selling and distribution expenses, finance cost. This is the end. If you have any questions, please, you are free to ask. Anyone, any questions, please? At the moment, we are more concerned about the current situation. As the market, geopolitical situation is clear, then we will have more concrete plan of our allocation of funds and results. If there is no further questions, I would like to end this meeting.
Adnan Khan: Finance cost and net profit after tax is OMR 48,401,000 as compared to OMR 49,174,000, which is almost 20% decrease. This decrease is just because of higher costs that we had to pay based on the market situation. This is a graphical representation of our income statement. Expenses. This is just what we have discussed. Cost of sales, general admin expenses, selling and distribution expenses, finance cost. This is the end. If you have any questions, please, you are free to ask. Anyone, any questions, please? At the moment, we are more concerned about the current situation. As the market, geopolitical situation is clear, then we will have more concrete plan of our allocation of funds and results. If there is no further questions, I would like to end this meeting.
Speaker #1: This is a graphical representation of our income statement. Then expenses—this is just what we have discussed: cost of sales, general admin expenses, selling and distribution expenses, and finance cost.
Speaker #1: So this is the end. If you have any questions, please feel free to ask. Anyone, any questions, please? At the moment, we are more concerned about the current situation in the market, as the geopolitical situation is clear.
Speaker #1: Then we will have a more concrete plan for our allocation of funds and reserves. So, if there are no further questions, I would like to end this meeting.
Adnan Khan: I would like to thank everyone for joining. Have a good day.
Adnan Khan: I would like to thank everyone for joining. Have a good day.
