Financial performance, disparity, and trend of petrochemicals sector of Saudi Arabia

Anis Ali ()
Additional contact information
Anis Ali: Prince Sattam Bin Abdulaziz University, Saudi Arabia

Entrepreneurship and Sustainability Issues, 2020, vol. 8, issue 1, 809-824

Abstract: Historical financial performance analysis of the business organization is the parameter of success and failure of operational activities and financial soundness while analysis of a particular industry explains the contribution towards the nation of the economy. In Saudi Arabia, petrochemicals industry is playing a vital role and contributes significantly to the Gross Domestic Product (GDP) of the nation. Some Saudi petrochemicals companies perform well while others performance unexpected or below the standard. There is financial disparity seen in the petrochemicals industry of Saudi Arabia and no study available in Saudi petrochemicals industries context to disclose financial performance, disparity and its trend. So, it is very necessary to analyze the financial reports of the petrochemicals companies to get the historical financial performance disparity and explain its trend. Some leading petrochemicals companies of Saudi Arabia selected for the financial performance study and operational performance, and financial soundness ratios applied to get the financial performance for specific duration. Statistical tools applied to know the significance of variance and trend of financial performances. The study discloses that the Gross profitability of all petrochemicals companies significantly different while the gross profitability also governs the other measures of financial performance. The trend financial performances of petrochemicals companies reveal a decline in operational performance or Gross profitability that governs the decline of other measures of financial performances.

Keywords: ratio analysis; variance analysis; profitability; financial soundness; paying-ability; return on equity; return on investment (search for similar items in EconPapers)
JEL-codes: P27 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://jssidoi.org/jesi/uploads/articles/29/Ali_F ... _of_Saudi_Arabia.pdf (application/pdf)
https://jssidoi.org/jesi/article/654 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ssi:jouesi:v:8:y:2020:i:1:p:809-824

DOI: 10.9770/jesi.2020.8.1(54)

Access Statistics for this article

Entrepreneurship and Sustainability Issues is currently edited by Manuela Tvaronaviciene

More articles in Entrepreneurship and Sustainability Issues from VsI Entrepreneurship and Sustainability Center
Bibliographic data for series maintained by Manuela Tvaronaviciene ().