Drake & Scull net profit surges 36pc
Dubai, February 13, 2012
Drake & Scull International, a regional market leader in integrated design, engineering and construction sector, has reported a Dh220 million ($60 million) net profit for fiscal year ended December 31, 2011, up 36 per cent from the year before.
The UAE construction giant also posted a 68 per cent jump in its revenues for 2011 which hit Dh3.1 billion. The earnings per share in 2010 were Dh0.072 compared to Dh0.095 recorded during the same period this year.
Drake & Scull said its total project awards announced in 2011 surged to Dh4.4 billion from Dh3.4 billion awarded the year before. The order backlog reached a record high of Dh7.1 billion representing a year over year increase of 43 per cent.
Commenting on the results, chief executive officer Khaldoun Tabari said, 'We are satisfied with the results and closed 2011 on track in achieving our growth objective for the year through the Civil, MEP and Water and Power subsidiaries across the region.'
'It has been a year of growth in 2011 and consolidation for the company as we have acquired during the last 2 years four companies that have significantly contributed to top line and bottom line growth,' Tabari noted.
'Our aim in 2012 is to sustain our growth in the Mena region and to pursue our expansion plan in Asia,' he added.
Chief financial officer Osama Hamdan said the top line growth has been mainly due to Drake & Scull’s increased momentum in projects execution and ability to secure more contracts in the region.
'The remarkable increase in profits is a testament of our commitment to cost reduction, our efficiency and diligence in project execution. Our focus remains on cost control and collections to ensure a healthy cash flow to maintain our strong balance sheet,' he remarked.
Hamdan pointed out that the civil business was a major contributor to the revenues and the company expected this trend to continue in 2012.
'We are confident that the secured backlog will guarantee steady revenue streams for the company to pursue its expansion plans in emerging and developing markets such as Africa and Asia,' he added.-TradeArabia News Service