Senaat (General Holding Corporation), one of the UAE's largest industrial holding companies, has reported strong financial results for the fiscal year ending 31 December 2014 as earnings surpassed Dh2 billion, supported by resilient financial performance delivered across portfolio companies operating in different sectors.
The Company continued to deliver consistent results sustaining a strong balance sheet. The results reflect strong performance delivered across the Group's operating companies in 2014.
Earnings before interest, tax and depreciation (EBIDTA) jumped 9% to Dh2.1 billion, compared to Dh1.9 billion in 2013; net profit was up 5% to Dh923 million.
Senaat revenues increased by 16% to Dh13.4 billion in 2014 from Dh11.6 billion in 2013, as total assets reached Dh26.8 billion. The company continued to strengthen its industrial asset portfolio, which has grown by nearly Dh2 billion annually over the last nine years.
Hussain Jasim Al Nowais, Chairman of Senaat, said, "Senaat invested nearly Dh1 billion into the industrial sector last year, raising the Group's total industrial investments to over Dh18 billion. Senaat will continue to build on efforts to support the industrial development of Abu Dhabi and the UAE."
"Senaat's solid financial footing has been confirmed, highlighting the company's self-sufficiency as it reinvested its profits into the development of new and existing projects, without any funding from government."
Senaat has built competitive, world-class businesses in sectors that include Metals, Oil and Gas services, Construction and Building Materials and Food and Beverages amongst others. Al Nowais said the Company plans to invest an additional Dh5 billion into industrial projects over the next two years.
"We have identified a number of attractive options into which we intend to invest, as we continue to seek opportunities to diversify our portfolio and deploy capital to fuel the growth of Abu Dhabi's industrial asset base."
He added, "Senaat has completed the year with robust revenue and profit growth despite a volatile economic environment, thanks to the Company's flexible business model and its ability to weather the impact of market volatility and economic cycles. The company is making major strides in realising the Abu Dhabi Economic Vision 2030 of diversifying the Emirate's economy and income away from oil and to strengthening its industrial sector.
Senaat plays an active role in local job creation and the development of the National workforce. UAE Nationals comprise 100% of the company's leadership and total Emiratisation has reached 55%, highlighting the strategic drive to attract and develop national talent.
Senaat subsidiaries witnessed numerous achievements in 2014, and contributed considerably to the national economy.
Emirates Steel delivered high quality products to its core market despite intense competition from Chinese and Turkish steel producers, and continued to export into new geographical markets.
In 2014, NPCC recorded a 41% rise in revenue to Dh4,227 million, compared to Dh2,997 million in 2013, aided by a robust order book secured in previous years.
Arkan maintained market share while boosting revenues from its newly completed Al Ain Cement plant. Total revenues for the year increased by 94% to Dh752 million, compared to Dh 387 million in 2013.
Agthia's results reflected strong sales growth with total revenues of Dh1,7 million, compared to Dh1,5 million in 2013, higher by 9% year-on-year.
Al Foah demonstrated strong performance with revenues of Dh428 million, compared to Dh385 million the previous year driven by higher export sales.
Ducab, the joint venture between the governments of Abu Dhabi and Dubai and one of the leading cable and wire manufacturers in the Middle East, raised its market share in the local markets through a number of strategic partnerships with major operating companies in the country.
Senaat has a proven track record of developing businesses through large-scale Greenfield projects and maintaining long-term investment strategies to sustain growth and profitability throughout economic cycles.