Egyptian Billionaire Nassef Sawiris’ OCI N.V. Records $392 Million Loss in 2023

OCI N.V., the world’s top producer and distributor of green methanol, led by Egyptian billionaire tycoon Nassef Sawiris, reported a $392 million financial loss and a significant fall in revenue for the full year 2023.

Revenue fell 48.3 percent year on year to $5.02 billion, down from $9.71 billion in 2022. This dip is related to reduced worldwide nitrogen pricing and a drop in natural gas prices in Europe and the United States following 2022’s record highs.

Exacerbated by increased operational costs in a hard inflationary environment, OCI N.V.’s operating profit fell 88 percent to $354.7 million, from $3 billion in 2022. This resulted in a net loss of $392 million for the year, a dramatic contrast to the $1.24 billion net profits reported the previous year.

OCI N.V., headquartered in the Netherlands, is a global leader in natural gas-based chemicals, serving the agricultural, transportation, and industrial sectors worldwide. Despite the financial issues, the corporation is nevertheless committed to strategic moves to maintain value and streamline operations.

Under Sawiris’ leadership, OCI N.V. signed significant agreements to dispose its holdings in December 2023, with the goal of leveraging early investments and optimizing subsidiary portfolios. The corporation sold 50% of its Fertiglobe shares to Abu Dhabi National Oil corporation P.J.S.C. for a total of $3.62 billion.

OCI N.V. sold its equity investment in OCI Nitrogen Iowa to Koch Ag & Energy Solutions for $3.60 billion, ending production of 6.11 million metric tons.

Nassef Sawiris, the visionary CEO at OCI N.V., remains steady in guiding the company through difficult waters. Sawiris, Egypt’s wealthiest individual and Africa’s fourth-richest, holds a 38.8 percent stake in OCI N.V., valued at $2.27 billion.

Despite the budgetary constraints faced in 2023, OCI N.V. maintains a global production capacity of roughly 10.71 million metric tons, demonstrating its sustained market supremacy. With operations in the Netherlands, the United States, the United Arab Emirates, Egypt, and Algeria, the company maintains its commitment to innovation and sustainability in the manufacture of green methanol and natural gas products.

Despite a tumultuous fiscal year, the company’s strategic actions to divest holdings and restructure operations demonstrate a proactive attitude to mitigating financial downturn. Under Sawiris’ leadership, the company remains well-positioned to overcome difficulties and seize emerging opportunities in the global marketplace.

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