DSI posts Q4 2017 profit despite wider full year net loss
UAE-based contractor Drake & Scull International (DSI) on Wednesday reported an 11% increase in revenues for Q4 2017, though the company’s full year net loss widened
UAE-based contractor Drake & Scull International (DSI) on Wednesday reported an 11% increase in revenues for Q4 2017, though the company’s full year net loss widened.
DSI revenues increased to $179m (AED656m) compared to the corresponding period last year, though its full year net loss deepened to $378m (AED1.39bn) from $222m (AED815m), the company said in a statement to the Dubai Financial Market.
Financial records showed a net profit of AED0.7m compared to a net loss of $98m (AED359m) recorded in Q3 2017. The company did not provide comparative figures for the fourth quarter of 2016.
DSI’s total projects backlog stood at $1.5bn (AED5.5bn) in 2017, supported by $134m (AED494m) worth of new projects in the MEP and water treatment sectors secured in the UAE and Saudi Arabia during the fiscal year.
“The Company remains committed towards the realization of the recovery objectives set forth by the new leadership team appointed in Q4 2017 to steer the company back to recovery and growth,” the company said.
“Several organizational restructuring initiatives were executed in the quarter to streamline operations, reduce cost and improve efficiency.”
DSI announced the completion of its capital restructuring programme in October 2017 after receiving $136m (AED500m) as part of a capital increase from Tabarak Investment.
DSI’s share capital was reduced from $626.2m (AED2.3bn) to $155.5m (AED571m).
The contractor made several key executive appointments as part of its restructuring efforts last year, naming Ziad Makhzoumi as an advisor to its board of directors.
The company’s board also elected Abdulla Atatreh as the new chairman, independent member Ahmed Saeed Al Hamiri as vice chairman, and Abdulla Fareed Algurg as new board member in Septemebr 2017.