Energy and utilities sector compensated for downturn in construction
Dubai-based cable manufacturer Ducab has reported a 2010 revenue of $980m, a 51 per cent increase compared to the previous year.
Revenue was driven by strong increases in the oil and gas sector, where sales rose by 143 per cent, and in the utilities sector, where sales went up by 22 per cent. This compensated for the decline in construction activity in Ducab’s markets.
“Infrastructure projects and energy investment throughout the GCC have been counter-cyclical in this downturn and have provided some compensation for the construction slowdown,” says Ahmad al-Shaikh, chairman, Ducab.
Ducab highest sales volumes to date were achieved as the company faced strong margin pressures due to increasing competition in the sector, and Ducab did not reveal it full-year profit.
Market share remained steady, ranging between 33 and 50 per cent, according to a company statement.
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