Egypt contractor Orascom's 2017 income jumps 112% to $104m
Orascom's pro forma backlog and new awards, including the group’s 50% share in Besix, totalled $6.4bn and $3.5bn respectively, as of 31 December, 2017
The year 2017 proved to be a successful one for Egypt-based Orascom Construction, with its net income recording a 112.5% year-on-year spike to reach $103.5m.
In a statement, the company said that the adjusted net income reported excluded one-off non-cash tax effect, adding that its net income for Q4 2017 stood at $29.5m, a 210.5% increase compared to the corresponding period in 2016.
According to the company, its pro forma backlog and new awards, including the group’s 50% share in Besix, totalled $6.4bn and $3.5bn respectively, as of 31 December, 2017.
Meanwhile, its consolidated backlog excluding Besix stood at $4.6bn and new awards at $2.2bn, also as of 31 December.
The company further revealed that it signed approximately $1.6bn worth of new awards in Egypt in 2017, adding that it is currently pursuing an active bidding pipeline in the Middle East and the US in the infrastructure, industrial, and commercial sectors, the company added.
Osama Bishai, chief executive officer of Orascom, commented: “The year 2017 highlighted the robust performance of our long-term business plan.
“We remained focussed on targeting quality projects in the Middle East and the US across our core competencies, similar to the recently announced contract to expand Fujairah International Airport in the UAE for $180m.”
He added: “The award of the new 250 MW build-own-operate wind farm in Egypt marks a milestone in our strategy to invest in infrastructure projects alongside EPC responsibilities. This project also highlights our experience in structuring attractive financing packages for our projects and on behalf of clients.
“In addition, we are excited that Besix showcased a consecutive excellent year and sustained profitability, while continuing to sign key projects in its core markets in the Middle East and Europe. We are also proud of Besix and Orascom’s […] achievement of delivering a 3km jetty in Egypt in under 12 months.
“Lastly, we are pleased to announce that the Board of Directors has proposed a dividend distribution to shareholders of $0.26 per share.”