NMDC (The Group) records 146% growth in net profit to AED 65.4 million during Q1 2022; continues to build on strategic expansion

Drilling rig at sunset
  • The Group reported first-quarter revenue of AED 1,552 million, an increase of 33% during the same period in 2021
  • Total assets of The Group are now at AED 12.63 billion, a growth of 1.3% over Q1 2022
  • The Group continues to drive its strategic expansion to international markets and diversification to new business verticals  

Abu Dhabi, UAE: Highlighting its resilience, impressive growth and successful expansion, National Marine Dredging Company (ADX: NMDC) (The Group), one of the world’s leading Engineering, Procurement, Construction (EPC) and marine dredging groups, recorded a robust growth of 146 per cent in net profit to AED 65.4 million during the first quarter of 2022 compared to the net profit of AED 26.6 million during the same period last year. 

The Group’s focus on diversifying to new business verticals and growing its footprint to new geographies also resulted in a growth in revenue by 33% percent to AED 1,552 million, compared to the Q1 2021 revenue of AED 1,168 million. The total assets of the Group are now at AED 12.63 billion, a growth of 1.3 percent over the total assets of AED 12.47 billion during the same period in 2021. 

His Excellency Mohamed Thani Murshed Ghannam Alrumaithi, Chairman of The Group, said: “The exceptional and continued growth in our net profit and revenue reflects the success of The Group in strengthening its geographic reach and its strategic diversification to new business verticals. We have underlined our credentials as one of the world’s fastest-growing EPC and marine dredging majors, and achieved strong profitability through the management’s focus on resource use optimization and enhancing end-to-end operational efficiency. The Group’s success is a strong testament to our commitment to building a high-value organization in the UAE that serves the world and adds to the vision of our leadership to strengthen domestic manufacturing and in-country value creation.”

Eng. Yasser Zaghloul, Group CEO, added: “Following the record profits we achieved in 2021, we are continuing to build on our success, which is reflected in the strong financial performance during the first quarter of this year. We have demonstrated our resilience to the challenges following the pandemic and have emerged as a global EPC and marine dredging major, creating value across all our operations. Our strategic expansion to verticals such as civil and port development; downstream, onshore, renewable energy, energy transition as well as subsea and decommissioning, among others will continue to power our growth. We will continue to focus on streamlining our resources and empowering our talented team to deliver world-class projects.”

He added: “We continue to monitor the market situation closely, particularly in terms of exchange rate fluctuations, and we are looking to implement impactful strategies to address the fluctuating price of raw materials. In this, our strong fundamentals and flexible business model is our strength, enabling us to overcome challenges and mitigate their impact. We are also evaluating the economic trends in the markets in which we operate in, especially Egypt, and working relentlessly to strengthen our business model in line with the changes in the market dynamics. This commitment to be proactive and responsive to market trends underpins our strong financial results.”

During the first quarter of 2022, NMDC continued its aggressive plans for geographic growth, securing unique and strategic projects, while focusing on business diversification, as well as mergers and acquisitions that strengthened its profitability and return on investment. NMDC’s strategy is being driven by a focus on cost optimization, supply chain management, resource use efficiency, and increased productivity across all levels. 

The Group has a number of projects that are upcoming in Southeast Asia, South Asia and Europe, which highlights the confidence of the industry in its competencies. The Group’s operations are also fully aligned with the highest standards of health, safety and environment, with further capabilities being built to drive renewable energy and energy transition plans, especially as the UAE prepares to host UNFCCC’s Conference of the Parties (COP28) in 2023. 

About NMDC (The Group)

National Marine Dredging Company (The Group), the UAE’s leading contractor in the field of engineering, procurement, construction and marine dredging in the Middle East spanning vital sectors, creating solutions that meet the challenges of the future in the energy EPC sector. Under its umbrella, the group owns and operates NMDC, NPCC and EEMDC.

NMDC is a leading contractor in the field of dredging and marine civil construction, delivering a range of services including the construction of port infrastructure, land reclamation, coastal defense and deepening and maintenance of waterways. NMDC owns and operates a modern fleet of dredgers supported by a wide range of auxiliary equipment including tugs, workboats, barges, and survey vessels.

National Petroleum Construction Company, headquartered in Abu Dhabi in the United Arab Emirates (UAE), is a world-class Engineering, Procurement and Construction Company that provides total EPC solutions to both the Offshore and Onshore Oil & Gas sectors. NPCC provides engineering, procurement, project management, fabrication, installation and commissioning to project owners and operators.