OCI posts 54% growth in first quarter consolidated earnings, Egypt

OCI posts 54% growth in first quarter consolidated earnings, Egypt
Published: 07 June 2006

Orascom Construction Industries announced consolidated revenue of EGP 3,286.2m  with EBITDA of EGP 945m and net income of EGP 525m for the first quarter ended 31 March 2006.

During the same quarter last year, OCI reported consolidated revenue of EGP 2,440m with EBITDA of EGP 621.4m and net income of EGP 340.5 million.

OCI Chief Executive Officer commented "An excellent start to the year. Consolidated earnings grew 54 per cent on the back of strong construction margins, and solid performance by the Cement Group.

"During the first quarter, we completed the acquisition of Van cement plant in Eastern Turkey and concluded a contract with ThyssenKrupp’s subsidiary Polysius to improve efficiency and upgrade capacity to 1Mt. During the coming weeks, 6Mt of additional cement capacity will start production in Egypt, the Kurdish region of Northern Iraq and Pakistan which will raise our Cement Group capacity to 21Mt. Additional expansion projects under execution which include Algeria, Nigeria, Northern Iraq and United Arab Emirates will further raise our Cement Group capacity to 31Mt.

"During the quarter, we also launched our new ready mix operations in Algeria and continued to expand our aggregates capacity in Egypt. We have ordered new cement bag manufacturing equipment to expand capacity in Egypt and Algeria and to launch new operations in Pakistan and Turkey which will raise total annual capacity to 560 million bags per year during 2008."