Skip to content Skip to Search
Skip navigation

Emirates Global Aluminium H1 profit falls 66% to $533m

Emirates Global Aluminium Emirates Global Aluminium
Revenue declined 19.12 percent year on year to AED14.8 billion on lower product prices

Net profit at Emirates Global Aluminium, the UAE’s largest non-oil industrial company and one of the world’s largest aluminium producers, tumbled 66 percent to AED2 billion ($533 million) in the first half of 2023.

This compared to AED5.9 billion ($1.6 bllion) in the first half of 2022.

Revenue declined 19.12 percent year on year to AED14.8 billion on lower product prices.

The adjusted Ebitda reached AED 4.2 billion in the year to June 2023, compared to AED7.6 billion a year ago.

The aluminium segment adjusted Ebitda margin stood at 27 percent, leading global industry peers.

The average realised London Metal Exchange price for its aluminium was $2,359 per tonne compared to $3,063 per tonne during H1 2022 and $2,392 per tonne during H2 2022.

Emirates Global Aluminium CEO Abdulnasser bin Kalban said that the company had “delivered solid financial results even as market conditions moderated from the significant volatility of recent years”.

“We will continue to be competitive in the second half, as we benefit from our multi-year drive to maximise our revenue and minimise our costs,” he added.

CFO Zouhir Regragui added that the company sees considerable opportunities both to grow its primary production and develop its business in recycling over the longer term.

“We are well placed within our sector to capitalise on these opportunities,” he said.

Emirates Global Aluminium made a corporate debt pre-payment of AED2.9 billion during the first half of 2023, continuing its deleveraging strategy to strengthen its balance sheet for future growth.

The company has pre-paid AED9.4 billion in total since mid-2021. The outstanding corporate debt is currently at AED14.4 billion.

Sales of cast metal increased by one percent to 1.32 million tonnes, compared to 1.31 million tonnes in the first half of 2022.

In the last half of 2022, Emirates Global Aluminium sold 1.41 million tonnes of cast metal. The company supplied 383 customers worldwide during the first half of 2023.

Latest articles

More than 24 million people visited the World Expo event at Expo City Dubai between October 2021 and March 2022

Construction begins at Expo City Dubai site

Construction has begun on the first residential properties at Expo City Dubai, part of a mixed-use master plan to repurpose the legacy site after the world fair came to a close two years ago. Master developer Expo City Dubai announced last week that it has awarded four key contracts for its Mangrove Residences. UAE-based USF […]

Saudi housing costs rose nearly 9% year on year in May

Saudi housing costs rise but inflation remains steady

Housing costs in Saudi Arabia rose nearly 9 percent year on year in May, but it was not enough to push overall inflation in the kingdom over 2 percent. The latest data from the General Authority for Statistics showed the annual inflation rate in Saudi Arabia was 1.6 percent in May, having remained at this […]

OTB Group has a presence in Dubai with its Maison Margiela store in the Dubai Mall

Chalhoub Group in venture with Italian luxury brand

Luxury distributor Chalhoub Group has entered into a joint venture with Italian fashion conglomerate OTB Group to expand the brand’s footprint in the Gulf. OTB (which stands for Only The Brave) owns the Diesel, Jil Sander, Maison Margiela, Marni and Viktor&Rolf brands, the Staff International and Brave Kid companies, and holds a stake in the […]

Arid conditions brought about by the drought in Morocco are affecting the cost of sheep

Drought pushes up sheep price for Eid in Morocco

The price for a sheep in Morocco for the annual sacrifice at Eid al-Adha has increased on average at 10 times the 2.2 percent rate of inflation. A medium-sized female sheep costs MAD4000 ($400) as opposed to MAD3000 last year. This puts it out of range for many families in the country where a high […]