Lamprell, the oilfield services firm based in the UAE, has blamed tough trading conditions for a drop in net profit last year.
"Trading conditions in 2009 were extremely challenging with a dramatic reduction of credit in Lamprell's operating markets affecting 2009 results and order book," said Nigel McCue, the chief executive.
Net profit dropped to US$28.4 million (Dh104.3m) from $80.5m in 2008, and revenue fell 42 per cent to $435.6m.
Lamprell, which operates from yards in Dubai and Sharjah, said a $102m contract was cancelled last year, leaving it with $633m of orders on its books.
The company had more rig refurbishment in its yards than in previous years but average spending by clients was lower, Mr McCue said.
"We continue to see a reduced level of offshore construction activity," he added.
Lamprell dominates the Middle East market for the refurbishment of "jack-up" rigs, which operate in shallow water.
The trends noted by the firm reflected the uncertainties in the global oil industry last year, causing even energy companies operating in the world's most prolific oil-producing region to take steps to conserve cash.
Mr McCue said he remained "confident" Lamprell's long-term prospects remained "very promising".
tcarlisle@thenational.ae
How to get exposure to gold
Although you can buy gold easily on the Dubai markets, the problem with buying physical bars, coins or jewellery is that you then have storage, security and insurance issues.
A far easier option is to invest in a low-cost exchange traded fund (ETF) that invests in the precious metal instead, for example, ETFS Physical Gold (PHAU) and iShares Physical Gold (SGLN) both track physical gold. The VanEck Vectors Gold Miners ETF invests directly in mining companies.
Alternatively, BlackRock Gold & General seeks to achieve long-term capital growth primarily through an actively managed portfolio of gold mining, commodity and precious-metal related shares. Its largest portfolio holdings include gold miners Newcrest Mining, Barrick Gold Corp, Agnico Eagle Mines and the NewMont Goldcorp.
Brave investors could take on the added risk of buying individual gold mining stocks, many of which have performed wonderfully well lately.
London-listed Centamin is up more than 70 per cent in just three months, although in a sign of its volatility, it is down 5 per cent on two years ago. Trans-Siberian Gold, listed on London's alternative investment market (AIM) for small stocks, has seen its share price almost quadruple from 34p to 124p over the same period, but do not assume this kind of runaway growth can continue for long
However, buying individual equities like these is highly risky, as their share prices can crash just as quickly, which isn't what what you want from a supposedly safe haven.
Company Profile
Name: Direct Debit System
Started: Sept 2017
Based: UAE with a subsidiary in the UK
Industry: FinTech
Funding: Undisclosed
Investors: Elaine Jones
Number of employees: 8
PROFILE
Name: Enhance Fitness
Year started: 2018
Based: UAE
Employees: 200
Amount raised:+$3m
Investors: Global Ventures and angel investors
The specs
Engine: 8.0-litre, quad-turbo 16-cylinder
Transmission: 7-speed auto
0-100kmh 2.3 seconds
0-200kmh 5.5 seconds
0-300kmh 11.6 seconds
Power: 1500hp
Torque: 1600Nm
Price: Dh13,400,000
On sale: now