The Wires: Arabtec, one of the UAE's biggest construction companies, reports a profit drop of 74 per cent in the second quarter.
Arabtec posts Dh82m profit drop year on year for Q2
Arabtec Holding, the UAEs' biggest construction company by market value, reported a 74 per cent drop in second-quarter profit, missing analysts' estimates, as expenses increased.
Net income fell to Dh28.97 million ($7.9 million), or 2 fils a share, from Dh111m, or 7 fils, a year earlier, Arabtec said in a statement to Dubai's bourse today. The mean estimate of six analysts was for a profit of DH44m, according to data compiled Bloomberg.
Arabtec's second-quarter expenses surged 91 per cent to 94 million dirhams, while revenue dropped to Dh1.22 bn from Dh1.28bn dirhams a year earlier, the company said.
The shares dropped 7 per cent to 1.33 dirhams at 10:15 am in Dubai. The stock has dropped 16 per cent this year compared with a 11 per cent decline in the benchmark Dubai Financial Market General Index.