Abu Dhabi's NMDC posts nine-fold surge in 2021 net profit

Company earned a net profit of $272.3m last year

NMDC's ongoing contracts are valued at more than over Dh40 billion. Photo: NMDC

Abu Dhabi contractor National Marine Dredging Company reported a more than nine-fold jump in its 2021 net profit as the industry gained momentum in the post-Covid era.

The company, an engineering, procurement, construction and marine dredging contractor in the Middle East, reported a net profit of Dh1 billion ($272.3 million) last year, compared to Dh107m in 2020.

This surpasses industry estimates and positions the company as one of the “world’s most profitable and fastest-growing engineering, procurement and construction [EPC] majors”, Abu Dhabi-listed NMDC said in a statement on Thursday.

The revenue of the company increased 78 per cent on an annual basis to nearly Dh7.9bn last year, compared to the full-year sales of Dh4.4bn in 2020.

“The strong financial results achieved by the group is a clear demonstration of the success of our strategy to be a global leader in providing EPC services for the energy and marine sector,” said Mohamed Thani Murshed Ghannam Al Rumaithi, the company’s chairman.

“We are driven by our strategy to grow returns through access to new markets and segments, and by generating new revenue streams.”

Total assets of the group now rest at Dh12.9bn, a growth of 75 per cent over the assets in 2020 at Dh7.4bn. With a market capitalisation of about Dh11bn, the earnings per share was Dh1.26 last year compared to Dh0.19 in 2020.

“Our financial results in 2021 are a true testament to the group’s strategic and consistent efforts in leading the market and the industry globally,” said Yasser Zaghloul, group chief executive of NMDC.

“We have demonstrated exceptional resilience to the challenging market environment, and we will continue to work to achieve our ambitious expansion plans regionally and internationally.”

NMDC's ongoing contracts are valued at more than Dh40bn. The company won five contracts in the October-December period, valued at Dh15.2bn.

Updated: January 28, 2022, 10:43 AM