JPMC optimistic on Q1 sales after lacklustre 2016, 2017 — chairman

AMMAN — The Jordan Phosphate Mining Company’s (JPMC) General Assembly on Saturday agreed to a board of directors’ decision to distribute dividends at 20 per cent nominal value to shareholders.

During a board meeting to discuss the company’s 2018 report, JPMC Chairman Mohammad Thneibat said that 2018 represented a “new launch” for the company after the JPMC incurred large losses in 2016 and 2017, which brought into question the company’s ability to continue.

He said the “new launch” was achieved thanks to a commitment from the board and executive administration to control expenditures and adhere to a practical plan, the Jordan News Agency, Petra, reported.

The chairman said that these procedures contributed to lowering the company’s production costs by JD43 million. The production cost of 1 tonne of phosphate was lowered from $78 in 2016 to $66 in 2018.

Thneibat said he expected the company’s sales in the first quarter of 2019 to exceed 120 per cent, compared with the same period in 2018.

He noted that net sales hit JD674.4 million in 2018 compared with JD586.7 million in 2017.

According to a disclosure posted on the Amman Stock Exchange’s website in March, the JPMC’s assets at the end of last year increased to JD1.117 billion, compared with JD1.078 billion at the end of 2017.

During the same period, shareholder equities also rose from JD678.2 million to JD682.7 million.

Profits were made despite a decline in raw phosphate production, as it fell from 8.686 million tonnes in 2017 to 8.063 million tonnes in 2018.

Meanwhile, production of diammonium phosphate increased to 632,000 tonnes in 2018, from 2017’s overall production of 379,000 tonnes.