Arkan Building Materials Company, a leading construction and building materials company in the UAE, has registered a 26 per cent jump in its net profit for 2015 which soared to Dh101.1 million ($27.5 million) from Dh80 million ($22 million) the year before.

Announcing a strong increase in both revenues and net profit, the company said this was mainly due to a solid sales growth, greater operational efficiencies, product exports and emergence of new business units.

Arkan reported revenues of Dh976.9 million ($266 million), up 17 per cent from Dh751.8 million ($205 million) in 2014 as a result of its focused local market penetration and market share driven strategy, said a statement from the company.

Arkan has concurrently increased its export sales, primarily to the GCC, Africa and Asian markets, it added.

During  the year, the company said it had supplied most of its products to all iconic infrastructure and community projects, such as the new Presidential Palace in Abu Dhabi, the new terminal at Abu Dhabi Airport and Emarati Housing projects in Yas Island.  

Commenting on the results, chairman Jamal Salem Al Dhaheri, said: "Arkan has performed well in 2015 with strong advances in both revenues and profits while maintaining a lean structure. As we look ahead to the coming year, we will continue to capitalise on our position as a market leader in Abu Dhabi, and expand our markets both across the UAE and internationally."

"We are confident that our sustainable strategy will allow us to continue growing despite more challenging market headwinds," he noted.

Arkan chief executive Abdellatif Sfaxi said: "We have made significant operational progress in 2015 by increasing our market share and sales volumes through capitalising on our integrated products and services offering while ensuring increased operational efficiencies."

"As a result, we can now further compete on the international market," he stated.

Sfaxi said despite increased pricing pressure as a result of an oversupplied market, Arkan continues to develop its businesses to remain at the forefront of the industry by exploring new markets, expanding product portfolio and enhancing its value proposition.

"We have made a good start to 2016 and are confident we can continue to grow over the course of the year," he added.-TradeArabia News Service