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Home / Drake & Scull returns to profitability with Dh656 million revenues in Q4 2017

Drake & Scull returns to profitability with Dh656 million revenues in Q4 2017

Drake and Scull International (DSI), which went through a recapitalisation and ownership restructuring exercise last year, returned to profitability with 11 percent increase in revenues to Dh656 million and profits reaching Dh0.7 million in the fourth quarter of 2017.

“Projects performance picked up momentum during the fourth quarter of 2017 with the overall quarterly revenue increasing 11 percent to Dh656 million compared to the preceding quarter (Q3, 2017). The company returned to profitability and reported a net profit of Dh0.7 million for the fourth quarter of 2017 compared to a net loss of Dh359 million recorded in Q3 2017,” the company said in a statement.

DSI’s total projects backlog stood at Dh5.5 billion, supported by Dh494 million worth of new projects in the MEP and Water Treatment sectors secured in the UAE and KSA during the fiscal year.

DSI management continues to lay the foundation for an improved and sustained operational and fiscal performance, with a renewed focus on DSI’s core MEP business in its key markets (UAE and KSA).

“The company remains committed towards the realisation of the recovery objectives set forth by the new leadership team appointed in the fourth quarter of 2017 to steer the company back to recovery and growth. Several organisational restructuring initiatives were executed in the quarter to streamline operations, reduce cost and improve efficiency. The company continues with its operational review across key markets and is undertaking key measures to mitigate contingent exposure of legacy projects,” it says.

The group is also accelerating projects bidding in key markets across all sectors and is undertaking several proactive measures to regain market share and restore its leadership in the region.