Emirates Steel Arkan maintains solid performance in H1’23

Emirates Steel Arkan maintains solid performance in H1’23

ABU DHABI, 1st August, 2023 (WAM) -- Emirates Steel Arkan (ADX: EMSTEEL) today announced its financial results for the first half of 2023 (H1'23), posting a net profit of AED 280.5 million, as compared to AED 279.9 million in H1'22.

The H1'23 performance demonstrated the resilience of the Group's Steel business in the face of market downturn, as well as a continued improvement of revenues and profits from the Building Materials division.

The Group's EBITDA stood at AED 612 million, up by 3 percent as compared to H1'22, and up 6 percent as compared to H2'22, a result of enhanced efficiency levels across the Group, with the EBITDA margin settling at 13.8 percent versus 12.9 percent reported in H1 2022.

Emirates Steel Arkan's six-month combined business revenue reached AED 4.43 billion compared to AED 4.61 billion during the same period in 2022. The Group's Steel division recorded a revenue of AED 3.95 billion in H1'23, with its profit totalling AED 224.8 million.

Revenue from the Building Materials division stood at AED 475.8 million in H1'23, a 9 percent year-on-year increase, while its profit was AED 56 million, a significant increase compared to AED 20 million in the same period in 2022, primarily driven by