x Abu Dhabi, UAESunday 23 July 2017

Capital ship builder's revenue riding a wave

Abu Dhabi Ship Building (ADSB) has announced that its contract revenue jumped by more than Dh200 million (US$54.4m) last year to Dh1.3 billion but said its profit had slipped.

Abu Dhabi Ship Building (ADSB) has announced that its contract revenue jumped by more than Dh200 million (US$54.4m) last year to Dh1.3 billion but said its profit had slipped.

The company, which yesterday posted its preliminary results for last year, reported that net profit before currency fluctuations had dropped to Dh56.4m from Dh86.3m in 2010. Earnings per share were 19.4 fils compared with 41.9 fils in 2010.

"The reduction compared to 2010 was expected," the company said in a statement to the Abu Dhabi bourse. "ADSB won a new contract for vessels' upgrades, but no other major new contract."

ADSB is working on the remaining Baynunah-class corvettes for the UAE Navy.

A total of six of the 72-metre warships have been ordered, and ADSB is understood to be hoping for orders from foreign navies.

The company is 40 per cent owned by Mubadala Development, a strategic investment company owned by the Abu Dhabi Government, 10 per cent by the Abu Dhabi Government itself and 50 per cent by national shareholders.

dblack@thenational.ae