Arkan posts AED30.2m net profit following Emirates Cement closure

UAE cement producer Arkan Building Materials Co posted a net profit of AED30.2m in 2017 compared to a loss of AED82.3m in 2016.

The company attributed the increase in profits to an AED158m asset write-off relating to the closure of the Emirates Cement Factory.

“Net profit was also impacted by the increase in gas and electricity prices enforced last year by AED78m and the completion of the accounting treatment of the benefit from the government grant of AED18m received in July 2011,” the company said.

The company’s revenue also increased by 12 per cent to AED908.6m in 2017, compared to AED812.8m in 2016 as sales across all product lines improved with pipes, blocks and dry mortar performing well.