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2160

Governance: D

AMIANTIT

Saudi Arabian Amiantit Co.

13.37 SAR / Share

As of: May 28, 2026

— P/E Ratio Trailing 12 Months

0.7x P/B Ratio Price to Book Value

— Dividend Yield Annual Dividend / Share

595.13M SAR Market Cap Total Valuation

1.13 Beta Systematic Risk Index

-25.2% Net Margin Net Profit / Revenue

The Story

Amiantit is navigating a severe financial and operational bottleneck, marked by declining revenues, persistent operating losses, and critical debt covenant breaches that have reclassified its long-term liabilities as current.

Source: Q1 2026 (2026-05-14)

Value Creation -23.4% Excess Return on Capital (Spread between ROIC/ROE and Cost of Capital)

Cash Flow Payback — Estimated years of operating cash flows required to cover Enterprise Value

Performance & Distributions

Dividend Yield Trailing annual dividends paid relative to share price

—

Sustainable Growth Rate Rate at which company can grow internally using reinvested profits

0.0%

Payout Ratio Percent of net profits distributed as dividends

—

Net Margin Net profit margin generated from total operational revenue

-25.2%

ROIC Return on Invested Capital

-14.2%

Market Pricing Multiples

P/E Ratio Market value compared to corporate net earnings

—

P/B Ratio Market capitalization compared to corporate book value

0.7x

EV / EBITDA Operating multiple reflecting core operational leverage

—

EV / SALES Asset pricing multiple relative to total topline revenue

1.3x

Growth Story

Amiantit's growth trajectory has faced severe headwinds, with TTM revenue shrinking to SAR 604.2 million, down from SAR 691.1 million in FY 2025 and SAR 848.3 million in FY 2024. This downward trend is further highlighted by a sharp drop in Q1 2026 revenue to SAR 95.9 million compared to SAR 182.8 million in Q1 2025, driven by declines in both pipe sales and construction contracts. With a 5-year average reinvestment rate of 0.0% and a negative 5-year average ROIC of -14.24%, the company's sustainable growth rate stands at 0.0%, reflecting a business that is currently unable to generate internal capital to fund expansion. The liquidation of its subsidiary Ameron Saudi Arabia Limited in early 2026 further underscores a shrinking operational footprint as the company consolidates its core activities.

Profitability Dynamics

Profitability remains highly strained, characterized by a TTM operating loss of SAR -100.8 million and a net loss of SAR -152.5 million, translating to a negative operating margin of -16.68% and a net profit margin of -25.25%. The company's 5-year average ROIC of -14.24% stands in stark contrast to its WACC of 9.16%, creating a destructive value gap of -23.40% that erodes shareholder wealth. This lack of profitability is exacerbated by heavy asset impairments, including a full SAR 150 million impairment on a disputed parcel of industrial land in Jeddah and a massive SAR 311.7 million cumulative impairment on trade receivables, particularly those under legal collection.

Risk & Capital Structure

Beta Systematic market risk indicator relative to the TASI index

1.13

Cost of Equity Minimum required rate of return demanded by shareholders

9.3%

WACC Weighted average cost of total debt and equity funding

9.2%

Debt-to-Equity Ratio Proportion of corporate funding financed by debt creditors

38.8%

Risk Factors

Amiantit's risk profile is dominated by severe liquidity constraints and balance sheet vulnerabilities. The company breached key financial covenants on its credit facilities, giving lenders the right to accelerate repayment and forcing the reclassification of its entire SAR 207.8 million long-term debt portfolio into current liabilities, bringing total short-term borrowings to SAR 225.7 million against a cash balance of only SAR 32.7 million. This structural mismatch is compounded by a high relevered beta of 1.13, reflecting elevated market sensitivity. Furthermore, geopolitical tensions and military escalations in the Gulf region have disrupted supply chains and operations in neighboring countries, threatening to further deteriorate customer credit profiles and trigger additional expected credit losses.

Governance Disclosures

Rating: D

We track 11 key governance and oversight matters for this company in our database.

Significance: 3/10 Tunneling

Impaired Related-Party Trade Receivables

The Group reports trade receivables from related parties of SAR 2,183 thousand as of March 31, 2026, with an associated impairment loss of SAR 2,070 thousand, leaving a net carrying value of SAR 113 thousand.

Significance: 4/10 Info Asymmetry

Related Party Trading and Impairment of Receivables

The Group engaged in material transactions with related parties, including SAR 10.3 million in purchases from Amiblu Tech AS in 2024. Additionally, amounts due from related parties are carried net of an impairment loss of SAR 2.1 million.

Mitigating Factors: Customer credit quality is assessed based on SIMAH's credit rating and individual credit limits are defined.

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In-Depth Analysis