Depa revenue, asset and order backlog drop in Q1

Nasdaq Dubai-listed interior contracting company Depa Limited said profit inched up while revenues, assets and order backlog recorded decline in the first quarter of 2015.

The company said Q1 profit inched up by Dh1 million to Dh15m after non-controlling interest while revenues fell 5 per cent to Dh440m in last quarter from Dh461m in Q1 last year.

The company said fall in revenue is in line with its focus on the bottom line, keeping gross margins stable at 13 per cent and increasing the profitability further.

Depa saw cash generation from operations increasing 210 per cent to Dh31m during last quarter from Dh10m in Q1 2014, thanks to improvement in cash generation from operations is attributable to the timely certifications and aggressive collection of receivables, which has had a positive impact on the overall net cash position as well.

Its net cash position also strengthened, holding Dh135m net cash as compared to Dh14m last year. Total assets fell to Dh2.852 billion as of March 31, 2015 as compared to Dh2.981bn at the end of December 31, 2014.

The company’s Q1 2014 backlog fell to Dh2bn. It had a backlog of Dh1.05bn in hospitality sector, Dh303m for yachts and Dh303m for residential projects.

In terms of backlog by geography, Asia accounts for 31 per cent or Dh613m, UAE 27 per cent or Dh630m, Mena (ex-UAE), Dh24 per cent or Dh461m, Europe 15 per cent or Dh298m, Rest of the World, three per cent or Dh52m.

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