- Dividend payment recognises the improved business fundamentals and confidence
Abu Dhabi, UAE – Arkan Building Materials Co. PJSC (ADX: ARKAN) (“Arkan” or “the Group”), a leading construction and building materials company in the UAE, announces that shareholders at the Annual General Meeting held earlier today have approved a cash dividend of 2.5% for eligible shares, representing AED 43.75 million, for the 2018 fiscal year.
The meeting was chaired by Eng. Jamal Salem Al Dhaheri, Chairman of Arkan, who explained how the company’s diversification strategy and cost optimisation programmes have contributed to the improving financial performance in 2018.
Eng. Jamal Salem Al Dhaheri, Chairman of Arkan, said: “The continued growth of our Pipes, Dry Mortar and Concrete Products, underpins our diversified business strategy and continues to mitigate market risks and deliver profits. We continue to invest in cost optimisation programmes and sustainable industry practices in order to minimise the impact of low market prices and achieve savings Overall, we remain confident that Arkan is well-positioned to capitalize on rising opportunities at home and abroad.”
“I would like to thank the leadership of Abu Dhabi for their continued support of the industrial sector as part of the Emirate’s economic diversification plans in line with the Abu Dhabi Economic Vision 2030. I would also like to extend my gratitude to Arkan’s Board of Directors, management team, employees and shareholders for their continued support and confidence in the company.”
Arkan recorded revenue in 2018 of AED 967.63 million and net profit up by 77% to AED 53.46 million. The increase in net profit was due to an increase in gross profit, savings in finance costs due to better cash management and the repayment of loans and income of AED 21.9 million only, recognized from the sale of assets from the old Emirates Cement Factory, which was shut down in 2016.
For investor relations enquiries, please contact:
Phone: +971 (0)2 234 4600 / +971 (0)4 446 6270
Arkan Building Materials Co. PJSC (ADX: ARKAN), is a public joint stock company specializing in manufacturing of building and construction products in the UAE. Arkan’s vision is to build a large integrated building products business that serves the local and regional construction industries. Arkan’s portfolio companies include the Al Ain Cement Factory, Emirates Blocks Factories, ANABEEB and Arkan Dry Mortar. For further information, please visit our website: www.arkan.ae .
© Press Release 2019