Dubai: Egypt’s Orascom Construction – one of the biggest regional names in the sector – had revenues of $979.7 million in the first three months of 2022, helping deliver $15.3 million as net profit. The company will also draw strength from the consolidated backlog, which is valued at $5.5 billion. (Plus, there is also access to the $8.3 billion in backlog with Besix, in which Orascom Construction has 50 per cent.)
A year ago, the revenue was $816.6 million, which led to a net profit tally of $26.9 million
“This backlog (at Orascom) is in line with the level achieved a year earlier despite the devaluation of the Egyptian pound,” said a statement attributed to the CEO, Osama Bishai. “Such resilience is supported by our high-profile infrastructure projects in Egypt that are denominated in foreign currency alongside our projects in other markets in the Middle East, Africa and the US.”
The Board of Directors has recommended a dividend distribution of $27 million, which will be paid in the third quarter, and marks a fifth consecutive year of dividend distributions.
Within the Middle East and Africa, the company signed $326.2 million by way of new awards during the fist quarter, mainly in the transportation and water sectors. The Group is 'playing a leading role as the EPC contractor for several record-setting projects including the largest water treatment plant in the world, the longest monorail project in the world, and Egypt’s first high-speed rail system'.
We indicated the previous quarter that we expected to experience challenges associated with the changing global economic environment. As always, we continue to prioritize project controls, cost optimization, supply chain and collections