Dubai contracting giant reports a first-quarter profit of $17m as direct costs increase
Dubai contractor Arabtec, part-owned by Abu Dhabi state fund Aabar Investments, reported a 25.7 percent drop in net attributable profit for the last quarter on Thursday, as costs rose.
Arabtec, which replaced its chief executive in March as part of a management shake-up, reported a first-quarter profit of AED62.5m ($17m) compared to AED84.1m in the corresponding period of 2012.
The earnings beat estimates of five analysts polled by Reuters, who had expected on average a net profit of 35.8 million dirhams for the first quarter.
Revenue for the quarter rose to AED1.54bn from AED1.29bn a year earlier. However, direct costs increased to AED1.35bn from AED1.08bn.
The company also said it had suspended its project in Syria because of unrest in that country.