Mahmood Al Kooheji
Alba’s net income drops 42 per cent in Q2
Manama, July 28, 2013
Aluminium Bahrain (Alba) has posted a net income BD20.7 million ($55 million) for the second quarter of the year, a drop of 42 per cent from BD35.6 million of Q2 2012, driven by unrealised derivative gains as well as lower metal prices.
The company posted a net income of BD61.2 million ($163 million) for the first half of 2013, up by 7 per cent from BD56.9 million for the same period in 2012 due to strong overall operational performance, which was partially offset by lower LME (London Metal Exchange) prices.
Alba’s sales for the first six months of 2013 were BD382.6 million versus BD 383 million in H1 2012, down by 9 basis points on the back of lower LME prices. Sales for the second quarter of 2013 reached BD195.5 million, down by 53 basis point as compared to BD196.5 million for the same period in 2012.
The board has recommended an interim cash dividend of 14 fils per share, which is BD19.7 million.
“Amid the downtrend in LME prices, the company closed the first six months of 2013 with a solid bottom line underpinned by higher productivity levels. I would also like to thank the Executive Management Team for improving overall safety performance in the plant,” said Mahmood Hashim Al Kooheji, Alba chairman.
Alba’s chief executive Tim Murray added: “Despite challenging global macroeconomic conditions coupled with lower LME prices, Alba was able to deliver a healthy financial performance supported by strong operational performance. Our focus on Continuous Improvement Programme and Operational Excellence initiatives will enable the company to maintain its competitive position and improve its overall performance.”
Chief financial officer Ali Al Baqali, chief operations officer Isa Al-Ansari and investor relations manager Eline Hilal will be on a road show headed by Murray to meet with investors in Dubai, New York City and Boston to discuss the company’s performance for the first half and second quarter of 2013 as well as outline Alba’s priorities and plans for the remainder of the year. – TradeArabia News Service