Saudi Industrial Investment Group (SIIG) [2250.SE] has announced its 2Q16 financial results, showing net profit of SAR216mn (-36% Y-o-Y, +145% Q-o-Q). The company incurred gross profit of SAR574mn (-22% Y-o-Y, +35% Q-o-Q), while operating profit was SAR546mn (-28% Y-o-Y, +67% Q-o-Q). Management attributed the Y-o-Y decline in profit due to the decrease in proportionate earnings from SCP and JCP, due to lower product prices, in addition to the increase in the feedstock and electricity cost scheme that was applied by the Saudi government. Management also mentioned that the decline was based on the decrease in the company’s proportionate earnings from the Petrochem by 32%, in addition to an increase in the proportionate loss from PCC. Management added that the increase in zakat expense and finance charges was among the factors that influenced the –(36% Y-o-Y) decline in earnings. The Q-o-Q increase in earnings and gross profit was attributed to the increase in SIIG’s propitiate profit from Petrochem by 70%, in addition to an increase in proportionate earnings from SCP and JCP due to higher product prices. (Tadawul)