Amiante: Comprehensive Analysis of Financial Performance and Developments in

Amiante Saudi Arabia was established in 1968, at a time when the Kingdom was witnessing the beginnings of its industrial renaissance. Since its inception, the company has specialized in manufacturing pipes and tanks, later expanding to include integrated solutions for water and sewage systems. Amiante started as a local industrial company but quickly expanded its operations regionally and internationally, now boasting a network of branches and partnerships in over 20 countries.

Over the past decades, the company has played a pivotal role in developing the Kingdom's water infrastructure by supplying major projects with high-quality pipes and tanks. Amiante is one of the few Saudi companies that has successfully integrated industrial expertise with international expansion, keeping pace with technological changes and investing in research and development to enhance its competitiveness.

The supportive Saudi market environment for industry, along with government development programs, has contributed to the company's growth, especially with the increasing focus on water resource management amid water scarcity in the region. Amiante has also benefited from the "Green Saudi" initiatives and Vision 2030, which emphasize sustainability and infrastructure development, providing additional opportunities for expansion and growth.

Amiante's activities focus on manufacturing and supplying water pipes and tanks made from composite materials such as fiberglass (FRP) and reinforced plastic. The company offers integrated water management solutions, including the production of high and low-pressure pipes, wastewater treatment plant equipment, and water storage tanks.

Amiante's products cover multiple sectors, including national infrastructure projects, municipalities, petrochemical industries, and agricultural projects. The company also plays a significant role in engineering consulting and overseeing the implementation of water projects, giving it an advantage in providing comprehensive solutions from design to execution.

Thanks to its investments in research and development, Amiante has developed advanced technologies in producing corrosion and pressure-resistant pipes, making its products widely accepted in both local and international markets. The company's activities include manufacturing equipment and stations for wastewater treatment and specialized equipment for railway projects, as seen in its collaboration with Saudi Railways (SAR).

Amiante has been listed in the Saudi financial market (Tadawul) for many years, under the stock symbol 2160 (or AMIANTIT in English). The company is classified within the industrial materials and water infrastructure sector and is often included in general market indices such as TASI.

Amiante's listing on Tadawul reflects its position within the manufacturing sector and provides investors with the opportunity to monitor its financial performance and access its announcements through official market platforms. The company features moderate trading liquidity, with its stock reacting to news related to major government projects and infrastructure development initiatives.

It is important to note that the water infrastructure sector in the Saudi market does not include a large number of specialized companies, which gives Amiante a unique role in the market and makes it a focal point for observers seeking opportunities in non-traditional sectors such as petrochemicals or cement.

In recent years, Amiante has witnessed notable transformations in its financial performance. After years of accumulated losses (2020-2022), the company succeeded in achieving a net profit of 439.8 million SAR in 2024, benefiting from improved demand for water projects and cost reductions.

Total revenues in 2024 reached approximately 3.89 billion SAR, compared to 3.67 billion in 2023, coinciding with the signing of a debt settlement agreement with the National Commercial Bank, which contributed to reducing its financial obligations. Despite recording a net loss in the fourth quarter of 2024 (52.5 million SAR), the annual results showed a tangible recovery.

During the first half of 2025, indicators of improvement continued with the signing of new contracts and memoranda of understanding, particularly in regional water projects and railway projects within the Kingdom. These results represent a turning point in the company's trajectory, highlighting the importance of prudent financial management in rebuilding trust with shareholders and markets.

One of the most significant developments in Amiante's financial situation during 2024 was its signing of a settlement agreement with the National Commercial Bank, which included repaying a debt of 313 million SAR at a 50% discount. The company paid only about 156.5 million SAR to close the debt, significantly reducing its financial obligations and improving liquidity.

This action positively impacted the company's financial position, enabling it to focus on investment expansion rather than managing accumulated debts. The reduction in debt represents a strategic step that enhanced Amiante's ability to win new contracts and continue executing its projects without significant financial pressures.

It is worth noting that reducing debt often reflects positively on the company's credibility with banks and suppliers, helping it negotiate better financing terms in the future. This step played a pivotal role in improving the company's overall financial performance during 2024 and 2025.

Amiante continued its expansion in 2025 by signing several memoranda of understanding and new contracts. Among these initiatives, the company signed two memoranda of understanding with the Libyan National Unity Government to enhance cooperation in water projects, including pipeline networks and storage tanks. The company also signed a memorandum of understanding with Saudi Railways (SAR) to supply equipment and pipes for railways.

These contracts reflect Amiante's strategy for regional and international expansion, leveraging its technical expertise and ability to execute integrated projects. These partnerships enhance the company's future business volume and open new markets in North Africa and the Gulf region.

Additionally, Amiante announced the sale of its stake in a Chinese company, a move aimed at restructuring investments and enhancing liquidity. These actions demonstrate the company's commitment to directing resources towards more profitable and high-growth sectors.

The price of Amiante's stock in the Saudi financial market during the last quarter of 2024 and part of 2025 ranged around 20 SAR per share. In one session, the stock recorded 19.63 SAR, while the last announced price was 21.08 SAR. Based on these prices, the company's market capitalization is approximately 939 million SAR.

The price-to-earnings (P/E) ratio has not been apparent for long periods due to fluctuations in profits, as the company recorded losses in previous years. With the company turning profitable in 2024, the P/E ratio is expected to become clearer in the results for 2025, although the company has not yet announced a clear policy in this regard.

Regarding dividends, the company has not announced any distributions to shareholders in recent years, which is linked to its focus on restructuring its financial position and repaying debts. Typically, Saudi companies announce dividends after general assembly meetings, but no official indications of future distributions have emerged by mid-2025.

Amiante operates in the industrial materials and water infrastructure sector, which includes the manufacturing of pipes, tanks, and wastewater project equipment. Regionally, the company faces competition from specialized companies such as Future Pipe Industries (UAE), Flowtite (American/Swedish), and Renown Geometrics (India).

Within Saudi Arabia, there are no companies of Amiante's size in the same specialized field, giving it a clear competitive advantage. However, there are general contracting companies active in executing infrastructure projects, but they do not compete with Amiante in manufacturing pipes and tanks. Additionally, foreign companies are seeking to enter the Saudi market through partnerships or joint ventures, prompting Amiante to strengthen its position through innovation and quality.

The company's competitiveness heavily relies on its ability to meet the requirements of major government projects and provide integrated solutions at competitive prices and quality. Government demand for water and infrastructure projects remains the most significant factor influencing the company's results.

Amiante's strategy aligns with the objectives of Saudi Vision 2030, which focuses on developing infrastructure, enhancing the water sector, and achieving environmental sustainability. Vision 2030 places great importance on new city projects, such as NEOM and Qiddiya, in addition to transportation networks and vital facilities.

This direction has led to increased demand for advanced water management solutions and pipes, which Amiante provides thanks to its investments in research and development. The 'Green Saudi' initiative has also opened new opportunities for the company, especially in water treatment and reuse projects.

Amiante's partnership with Saudi Railways (SAR) exemplifies its contribution to transportation infrastructure projects, while international contracts with countries such as Libya, Jordan, and Bahrain open additional avenues for expansion. Therefore, it can be said that the Kingdom's vision enhances Amiante's position and supports its business growth in the future.

Despite the notable improvement in financial performance, Amiante faces a range of challenges and risks. Among the most significant are fluctuations in raw material prices, such as resins and fiberglass, which affect production costs. Additionally, heavy reliance on government projects makes the company vulnerable to delays in project execution or changes in public spending priorities.

Financial volatility related to foreign investments, especially amid currency fluctuations or economic conditions in international markets, represents an additional challenge. In recent years, the company has suffered from high debts and financing costs, although the recent debt settlement has helped reduce financial risks.

On the other hand, competition is increasing with the entry of new global companies into the Saudi market, requiring Amiante to continue developing its products and services to maintain its market share. The company is working to address these challenges by diversifying revenue sources and improving operational efficiency.

Amiante places significant importance on environmental and social responsibility within its strategy. The company seeks to develop eco-friendly products that contribute to water conservation and reduce waste. It is also committed to quality and safety standards in its production processes and works to minimize the environmental impact of its factories.

In terms of social responsibility, Amiante supports training and development programs for Saudi personnel and seeks to increase localization rates in core jobs. It also participates in developmental initiatives aimed at improving the quality of life in local communities by supporting water and sewage projects.

These efforts align with the Kingdom's goals of achieving environmental and social sustainability and grant the company a positive reputation among government entities and clients. Amiante's commitment to sustainability is one of the factors enhancing its ability to win new contracts in major infrastructure projects.

Amiante has a wide network of branches and international partnerships in over 20 countries, including China, South Africa, Europe, and Japan. The company's branches produce specialized pipes for water, gas, and chemical industries for both local and international markets.

The company is working to develop partnerships with global companies in the fields of pipe production and equipment supply, which gives it the ability to benefit from modern technology and exchange expertise. In recent years, some foreign investments have been restructured to increase efficiency and focus on the most profitable markets.

Amiante is always seeking to enter large projects outside Saudi Arabia, whether through partnerships with governments or the private sector, to enhance its exports and achieve diversification in income sources. The company's participation in infrastructure reconstruction projects in Libya is an example of this international approach.

Amiante's stock performance is characterized by fluctuations based on financial news and the company's strategic developments. During 2024 and 2025, the stock experienced relative increases supported by positive company results and debt settlements. The stock price reached 19.63 SAR in one session, later approaching 21.08 SAR.

The company's market capitalization is approximately 939 million SAR, while the P/E ratio has not been apparent in some data due to previous profit fluctuations. This performance indicates the company's recovery and renewed attractiveness to investors, despite ongoing market monitoring of upcoming quarterly results.

Investors should follow the company's news and official financial reports through the Tadawul website and economic news platforms to obtain accurate and updated data on stock performance and other financial indicators.

Following Amiante's news through official sources is essential for those wishing to understand the company's developments. The company publishes its announcements and financial data through the Tadawul website, and major economic news platforms like Argaam and Al Arabiya Net cover significant events related to the company.

Semi-annual and annual disclosure reports provide detailed information about financial performance, new contracts, and strategic developments. Additionally, news about the company can be followed through Saudi Press Agency (SPA) and credible international platforms.

It is always advisable to rely on official and announced sources from the company to avoid rumors or inaccurate information, especially when making financial or investment decisions related to Amiante's stock or other listed stocks on Tadawul.