Saudi’s Savola Group has posted a fall in annual profits.

Net income fell 13.5% in 2015 to SAR1.8bn (US$479.9m). Savola said the lower earnings came from charges associated with the disposal of its plastic business during the first quarter of the year. 

Operating profit also fell, sliding 19.2% to SAR1.9bn.

No details regarding sales performance were provided.

Profits in the fourth quarter were mixed. Net profit increased 18% to SAR515.3m. Savola mainly attributed the improved earnings to an insurance claim settlement following a fire at its sugar warehouse in 2013 and a gain on the sale of land, both recorded in the quarter.

Operating profit however was impaced by an increase in operating expenses. It was 12% lower at SAR531.2m.

Savola yesterday announced the appointment of new CEO Rayan Mohammed Fayez who would replace CEO and MD Abdullah M. Nour Rahemi. Fayez previously held the role of managing director and CEO at JP Morgan in Saudi Arabia.