A recent report issued by Al Rajhi Financial Company revealed that cement sales in the Saudi market rose to 4.78 million tons during last October, with a monthly increase of 7.7% compared to the previous September, but on an annual level it decreased by 8.7%, compared to October 2025.
The company's report showed that total cement sales since the beginning of 2026 declined by 3.41 TP3T year-on-year, compared to the high levels recorded by the sector during the first ten months of 2025. At the company level, three companies achieved year-on-year growth in sales volume during October: Al-Yamamah Cement (2.41 TP3T), Najran Cement (21 TP3T), and Riyadh Cement (1.11 TP3T). In contrast, the remaining companies covered in the report recorded a decline in sales compared to the same month last year.
Regarding exports, monthly exported quantities of clinker increased by 8.6% year-on-year, supported by the strong performance of Southern Cement, Northern Cement and Saudi Cement companies, but declined by approximately 24% compared to September, affected by the high level of the month-on-month comparison.
Domestic sales and exports showed mixed performance.
Al Rajhi Capital explained that domestic cement sales in October were 7.41 TP3T lower than the previous year, despite a 7.71 TP3T increase month-on-month. Exports, however, saw a sharp year-on-year decline of 46.11 TP3T, with a monthly improvement of 7.91 TP3T. Looking at company performance year-on-year, Riyadh Cement was the only company among those covered by the report to achieve sales growth, with its sales increasing by 131 TP3T. In contrast, Saudi Cement and Qassim Cement experienced the largest declines, at approximately 281 TP3T and 221 TP3T, respectively.
As for the monthly comparison, most companies showed improvement, with the exception of Najran Cement, whose sales decreased by 31 TP3T. Riyadh Cement topped the list of the fastest-growing companies with an increase of 261 TP3T, followed by Qassim Cement with growth of 131 TP3T.
Clinker stocks stabilize at 46.1 million tons
Regarding inventory levels, cement companies' clinker stocks remained generally stable during October, registering 46.1 million tons, virtually unchanged from the previous month. The report revealed a clear disparity in inventory levels among companies; Riyadh Cement recorded the lowest level, equivalent to five months of sales needs, followed by Saudi Cement Company with a six-month supply, while Al-Yamamah Cement's inventory covered eight months.
On the other hand, Southern Cement recorded the highest inventory coverage period at 20 months, followed by Yanbu Cement at approximately 19 months, according to the report's data.
Clinker exports rise annually and decline monthly
Clinker exports reached approximately 415,000 tons in October 2026, representing an annual increase of 8.61 TP3T, while a decrease of 24.41 TP3T compared to September of the previous year. This performance was supported by increased exports from Southern Cement, Northern Cement, and Saudi Cement companies.
In the context of production, Al Yamamah Cement recorded a remarkable increase in clinker production during October, reaching its highest level since June 2026, exceeding its average production during the first nine months of the year by 17%, which reflects a remarkable improvement in the pace of production at the company during the month.
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