The ongoing construction boom in the UAE sent profits spiralling 205 per cent upwards at Ras Al Khaimah Cement to USD18.9m in the first nine months of the year. Cement companies in the UAE have benefited from higher prices as well as high output in the period.
The Ras Al Khaima Cement Company has earned a net profit of Dh69.333m during the July-September quarter of the year against earnings of Dh22.670m during the previous comparable period.
Total sales reached Dh183.759m during the third quarter from Dh126.174m during the comparable period. The cost of sales which was at Dh91.154m level last year increased to Dh104.685m in the third quarter of the year.
The gross profit figures also improved to Dh79.073m during the quarter ending September from Dh35.020 million.
There was a sharp rise in operating income, which rose to Dh0.207m from Dh0.042m. Marketing expenses increased to Dh1.005m from Dh0.711m.
However, there was substantial reduction in administrative expenses which were trimmed to Dh5.413m during the third quarter against Dh7.147m in the same period of the previous year, which helped boost profits from operations to Dh72.863m from Dh27.203m.