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Thu 1 Aug 2013 10:15 AM

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UAE cooling firm Tabreed's Q2 net profit jumps 37%

Dubai-listed firm posted net profit of $21.6m for the three months to June 30

UAE cooling firm Tabreed's Q2 net profit jumps 37%

District cooling firm Tabreed , partly owned by Abu Dhabi state fund Mubadala , on Thursday reported a 37 percent increase in second-quarter net profit, helped by growth in its core chilled water business and lower costs.

The Dubai-listed firm posted a net profit of 79.4 million dirhams ($21.6 million) for the three months to June 30, compared with 57.9 million dirhams for the same period last year, it said in a statement.

Tabreed, which provides cooling systems to residential and commercial properties in the Gulf, said operating costs for the quarter decreased to 144.6 million dirhams from 178.2 million.

Quarterly group revenues dropped 6 percent to 278.7 million dirhams as the company continued to wind down non-core businesses.

Tabreed secured 3.1 billion dirhams of financing from Mubadala in March 2011 to help tackle its debt pile. The firm also agreed to issue 1.13 billion dirhams in convertible bonds to Mubadala as part of a recapitalisation plan.

Tabreed shares have risen 72 percent year-to-date, making the firm one of the best performing stocks in Dubai's index.

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