Dubai: Jewellery retailer Damas International Limited (Damas) reported a full year net loss of Dh1.91 billion due to a drop in sales and after it set aside Dh1.92 billion for outstanding receivables.
In a statement, Damas said its revenue fell 31 per cent to Dh3.3 billion in the 12 months ended March 31, while gross profit declined 33 per cent to Dh565 million in the same period.
It blamed the impact of the global financial crisis, lower consumer confidence and higher gold prices for the decline in profitability.
The company said provisions and non-recurring charges totaled Dh1.92 billion in the 12 month period.
"Damas continues to move forward with its financial restructuring, demonstrating the confidence of our bank lenders in the strength of the company's underlying business model, while also preparing for the implementation of our operational restructuring, which will allow the company to sustain its growth trajectory despite current challenging conditions," said Damas chief executive officer Anan Fakhreddin.
