Abu Dhabi – Al Watan
Arkan Building Materials "Arkan" ("the Group") listed on the Abu Dhabi Securities Exchange (ADX), a manufacturer of building products and materials for PJSC UAE, today announced the results of an audit on its fiscal year.
2018 net profit increased 77%. Not only will it record a portion of the proceeds from the sale of assets at the Emirates Cement Plant, but also increase profit margins and reduce financing costs due to cash flow management and loan repayments, resulting in AED of $ 3,077,775 million, At the end of the year, the AED ended at 21.9 million.
The Group's total sales grew 6.5% in 2018 to reach AED 967.63 million, compared with AED 908.59 million in 2017. This improvement is attributable to an increase in average annual sales of various business segments (pipe, bag and brick) Due to classification 2018
ARKAN's professional division continued to produce high-margin products, raising sales prices and generating sales growth. The production of pipes and dry mortars is showing significant growth year-round, and pipeline installations have seen increased exports to the Far East and Central African markets, and due to high demand for construction projects, two brick and mortar units Sales have increased in UAE.
The cement manufacturing sector has increased profits due to direct costs and lower revenues from the sale of older cement factories. However, unit sales declined slightly due to intensifying competition and falling cement prices due to continued challenges in the cement market due to high production capacity compared to domestic and Gulf markets and export growth.
Jamal Salem Al Dhaheri Eng, chairman of Arkan, commented, "We are very pleased to be able to achieve this growth in 2018 despite continued difficulties in the market. This excellent performance is largely due to the execution of strategic plans, The product portfolio's balanced, high-quality and rigorous cost management approach improves resilience and endurance capabilities.