Oman's Raysut Cement names new CEO
Joey Ghose's appointment at Raysut Cement will take effect this December, the listed manufacturer's board chairman confirmed
Oman's Raysut Cement has a new chief executive officer (CEO).
The manufacturer, listed on the Muscat bourse, has appointed Joey Ghose as its new CEO.
Ghose's appointment is effective December 2017.
Ahmed bin Yousuf bin Alawi Al Ibrahim, the chairman of Raysut Cement's board, said in a missive to the Muscat bourse that Ghose has extensive experience of managing cement industry companies.
Changes to the income tax law in Oman led to a 60% year-on-year (YoY) reduction in Raysut Cement's nine-month (9M) profit for 2017, it was announced earlier this month.
Furthermore, local market competition, and social disturbances in export markets, contributed to reduced sales volumes for the company.
Royal Decree No 9/2017, published in the sultanate's Official Gazette on 26 February, 2017, raised the rate of income tax in Oman from 12% to 15%.
In a set of documents outlining the company's 9M 2017 financial performance, Al Ibrahim said the 3% increase in income tax was one of the factors that affected the firm's profits for the period.
Group-wide operating profits for the period reduced by 54.8% to $21.2m (OMR8.15m), compared to 9M 2016's corresponding values of $46.9m (OMR18.05m).
"This is because of lower volume of sales, owing to competition in local markets, and in export markets – mainly in Yemen – due to [social] disturbance which resulted [in the] loss of some areas and increase in costs of electricity, gas, and coal with effect from January 2017," Al Ibrahim added in his statement.
"Various cost reduction initiatives, coupled with optimisation of distribution of cement, keeping market share and profitability in mind, would be the major area of attention in the coming years.
"With those internal initiatives, the company is hopeful of minimising pressure to a great extent," he added.