RAK Ceramics swings to 2021 profit on higher revenue – The National

RAK Ceramics swings to 2021 profit on higher revenue – The National

RAK Ceramics, one of the world's biggest producers of ceramic products, swung to profit in 2021, on the back of higher revenue and lower impairment losses as global economies continued to recover from the coronavirus pandemic.

Net profit attributable to the owners of the company for the full year climbed to Dh246.45 million ($67.16m), compared to a loss of Dh129.7m reported a year earlier, the company said in a statement on Monday to Abu Dhabi Securities Exchange.

Revenue at the end of last year surged 21.8 per cent annually to Dh2.86 billion, while impairment losses declined 36 per cent year on year to Dh32.8m.

“Despite the challenges, our business saw positive momentum and a gradual return towards normality with economic activities and trade resumption,” said Abdallah Massaad, group chief executive of RAK Ceramics.

“We reported a significant revenue increase in the first quarter of the year, marking a five-year high in terms of profitability."

The company has reported three consecutive quarters of positive revenue growth, which has resulted in "a healthy net profit", he added.

The RAK Ceramics board has recommended a dividend of 20 fils per share for the 2021 financial year, half of which was paid in October last year as an interim dividend,