Dubai – Mubasher: Arabtec Holding turned profitable in the first quarter of 2017, according to a bourse statement.
The real estate developer reported profits of AED 17.62 million ($4.8 million) in Q1-17, against losses of AED 46.4 million ($12.63 million) in Q1-16.
Revenues reached AED 2.17 billion in Q1-17, up 10.7% from AED 1.96 billion in Q1-16.
Total expenses stood at AED 2.08 billion in Q1-17, up 8.3% from AED 1.92 billion in Q1-16.
“This initial step reinforces our commitment to returning Arabtec to profitability and solidifies our strategic roadmap to achieving sustainability,” according to the group's CEO Hamish Tyrwhitt.
The recapitalisation programme is laying the foundation to allow the group to build on its three-stage plan, Tyrwhitt added.
“To optimise the delivery of our AED 17 billion backlog, we are making key operational improvements through embedding enterprise risk management and a performance-driven culture, which is already evident in the increase of our gross profit margin,” he added.
“Resolving legacy claims and collecting receivables is a key action in Phase One which will be achieved through our ability to turn risk into opportunity,” Tyrwhitt noted.
