On the back of a great year in business, Riyadh-based Saudi Ceramic Company (SCC) is looking forward to a year of expansion, product launches and opening up new showrooms in the kingdom as it is poised to go global.

The year 2004 was an excellent year as regards sales and profits. The company had a record sales turnover of $86 million and a net profit of $28 million, (including extra ordinary income of $11 million), says general manager Abdulkarim AlNafie.
The company had also achieved great milestones in terms of volume of production, as it witnessed a growth in tile production capacity to 16 million sq m, and plans are well under way to double the figure by 2007.
Last year, the company also made substantial investments in plant modernisation and expansion and decided to enter into the high-end segment of the tile market by investing in the production of gres porcellanato tiles. The facility is expected to be operational this year.
AlNafie continues: “We are looking at focusing on three areas: to increase our production capacities to achieve better economies of scale, to broaden our existing product portfolios and to maintain our quality standards. To realise this, we have decided to invest millions of dollars over the next two years.
“The board of directors has recently approved an ambitious project which is scheduled to be completed in two phases; the first phase will be completed in 2006 and the second will end in 2007. After the completion of this, the company will be able to produce 30 million sq m tiles per annum making it one of the largest manufacturers in Asia.
“The decision to enter into the gres porcellanato segment will also play a pivotal role in the growth strategy of the company and also help SCC to be in the premium segment of the tile market,” he says.
The company has also planned the introduction of new products notable amongst them being the introduction of a new electric water heater. A dominant leader in the electric water heater segment, SCC will launch a new line of central electric water heaters over the next couple of months, switching over to new segments of the electric water heater market. Many new sizes will be introduced during this time that will vary in sizes ranging from 30 to 300 litres.
The company is also looking forward to push for growth in its sanitary ware division as well.
There have been significant developments in SCC’s sanitary ware division and the facility has also gone through several modernisation programmes in the recent past.
In 2004, the company had introduced more computerised robot spraying machines to enhance the beauty and quality of its sanitary ware models. Also several pressure casting and other machineries were introduced in its sanitary ware plant. SCC had also launched new sanitary ware models that include: Kinaz, Nowras, and the Bodour series, among others.
SCC – which exports to more than 25 countries – has strengthened its position in international markets, with the opening up of its first international sales office in Dubai, last year. Plans are under way to further increase its international market share.
Towards this end, the company has increased its participation in international trade exhibitions and has successfully participated in the recently concluded ISH, Germany and Buildex Jordan. SCC is also participating in the forthcoming Big 5 show in Dubai and SaudiBuild in Riyadh.
In Saudi Arabia, which accounts for more than half of its total sales, SCC had opened two new showrooms in 2004, one in Jizan and another one in Hayal, taking its total to 25 showrooms in Saudi Arabia.
This year, the company plans to open three more showrooms in the kingdom, which will serve the end consumer a one-stop-shop for all their wall and floor requirements, AlNafie concludes.