Union Cement Company posted a net loss of AED9.8 million against an AED90 million profit for the same period last year in a familiar result for UAE manufacturers squeezed by declining sales and prices.
The Ras Al Khaimah-based manufacturer saw revenues fall 23% to AED303.5 million with the cost of sales over the period by 5.7%, or AED16.6 million. After-tax, the company saw a loss ofAED9.81 million, down from AED90.1 million between January and 30th June in 2009.
Cash flows from operating activities also declined, from AED146.1 million to AED68 million, a drop of more than 50%.
The company produces and markets various types of Portland cement mostly through direct sales, and has stakes in Union Cement Norcem Company and RAK Energy. The company saw net values of its for-sale investments reverse from AED4 million to an AED4.6 million loss. Its net book value of property, plant and equipment fell AED922,000.