Dubai-listed contractor Drake & Scull International (DSI) attributes its improved results to a cost-cutting programme, according to its third-quarter bourse statement on the Dubai Financial Market (DFM).

The company recorded net losses of AED297m ($81m) in the first nine months of 2016, which is a significant contraction from the AED951m of losses in the same period in 2015.

Revenues for the first nine months of this year are slightly down, sitting at AED2.7bn, compared with AED2.8bn in the first nine months of 2015.

DSI also reported revenues of AED869m in the third quarter of this year, compared with AED434m in the same period in 2015.

The company’s net debt increased from AED1.9bn in the third quarter of 2015 to AED2.2bn in the same period this year.

The statement says: “We maintained our revenues for the two consecutive quarters and continued to decrease our expenditure through our relentless cost-cutting programme.”

In the third quarter, DSI appointed a financial adviser to assist on a number of business transformation and strategic initiatives, said the statement.

DSI’s order backlog in the third quarter of 2016 declined by 28 per cent compared with 2015, and stood at AED8.8bn. The company said the decline is attributed to two cancelled projects in Saudi Arabia, which allowed DSI to mitigate the risks that come from civil works in the kingdom.

In October, the firm announced the appointment of Wael Allan, the company’s chief operating officer, as the new group CEO.

Allan’s appointment marked the final phase of a six-month management transition process that started with his appointment as chief operating officer in the first half of this year.

Khaldoun Tabari, the previous CEO, will continue to be a non-executive board member, a member of the executive committee, vice-chairman and a major shareholder.