Dubal Holding posts Dh2.4bn profit in its first year

Dubal Holding (DH), a subsidiary of Investment Corporation of Dubai (ICD), recorded net profit of Dh2.4 billion and net assets of Dh16.7 billion at the end of last year.

The holding company has been operational since 2014 to look after, among other things, ICD’s 50 per cent share in Emirates Global Aluminium (EGA).

“The year’s profits have exceeded shareholders’ expectations despite challenging global market dynamics,” said Saeed Mohammed Al Tayer, Vice Chairman of the Board of Directors.

Abdulnasser bin Kalban, CEO of DH, presented the main items to the DH Board of Directors meeting.

“Besides strategic alignment with Emirates Global Aluminium, DH will continue to promote energy infrastructure and industrial projects, which will contribute to the economic development and social progress of the Emirate of Dubai. DH will also seek to acquire equity interests in local and international projects related to coal, solar, gas, and other alternative sources of energy to help in meeting local and global demand.

“This aligns with the core focus of DH to be at the forefront of Dubai’s investments in energy, mining, commodities and other industrial projects. It also aims to attract foreign-based high technology industrial entities to invest in similar projects in the UAE,” said bin Kalban.

Emirates Global Aluminium was formally established at the beginning of 2014 by combining the aluminium industry assets of ICD and Mubadala Development Company.

Emirates Global Aluminium (EGA) production capacity reached 2.4 million tonnes in 2014, generating Dh19.8 billion of revenue and Dh3.7bn of net income.

EGA, jointly owned by Mubadala Development Company and the Investment Corporation of Dubai (ICD), concluded its first year of operations.

Abdulla Kalban, EGA’s Managing Director and CEO, said: “In 2014, we were able to bring our full portfolio of value-added products to our global customer base, which includes more than 350 customers in almost 70 countries, while supporting a fast-growing downstream sector in the UAE.”

Its sales revenues of Dh19.8bn were 30 per cent higher compared to the combined sales of Emal and Dubal in 2013; while the net income of Dh3.7bn is 75 per cent more than the combined sales of Emal and Dubal in 2013.

The results were driven in particular by the ramp-up of Emal Phase II production and a continued focus on cost reduction initiatives.
 

Follow Emirates 24|7 on Google News.