Fujairah first half 2011 loss

Fujairah first half 2011 loss
Published: 16 August 2011

UAE-based producer, Fujairah Cement, posted a loss of more than AED6m (US$1.63m) for the second quarter of 2011.

The company said the after-tax loss compared with an AED11.8m (US$3.21m) profit the previous year, despite a 19.45% rise in sales from AED 221m (US$60.16m) to AED 264m ($71.87m) in that time.

The loss follows the AED 2.75m ($748,686) loss incurred during the first quarter of 2011, leaving the company with a first-half loss of AED 8.75m ($2.38m).

Naser Ali Khammas, general manager, stated to the stock exchange that that the cement sector’s “association with the financial crisis by more than two years” had heavily hit sales. It added that “the high prices of materials used in production and high transport costs resulting from high oil prices and diesel and low selling prices” also hit profitability.