Arkan Building Materials Company, a leading cement manufacturer in the UAE, has successfully diversified its customer base and widened its cross-selling opportunities.

The company is also currently engaged in supplying cement and other building and construction material to a number of high-profile projects among which are the Presidential Palace in Abu Dhabi, Abu Dhabi International Airport and Yas Island.

“Our unique offering of diversified products and the strong reputation we have built in the marketplace positions us well for stable and sustainable growth well into the future as we continue to create value for our shareholders,” said chairman Jamal Salem Al Dhaheri.

Al Dhaheri made the remark after his company reported strong results in the first nine months of 2015. Net profit for the period touched Dh81 million ($22.05 million), up 32 per cent over the Dh55 million it registered over the same period of the previous year.   

The Abu Dhabi-based company’s revenue for the first three quarters surged 20 per cent to Dh666 million from Dh532 million in 2014 mainly driven by growth in sales and enhanced operational efficiencies.

Arkan attributed the strong financial performance to its reinvigorated approach to business development and sales and to the achievement of greater efficiencies across its building materials manufacturing entities.

“Arkan’s financial and operational achievements over the year to date validate its sound strategy, as well as its management’s commitment to quality execution. As we look ahead, our goal is to remain at the forefront of the industry by continuing to work in close partnership with our customers and ensuring our products and services are aligned with their evolving needs,” said Al Dhaheri.

Arkan said 2015 marked the first full year of operation for the company’s Al Ain Cement Factory, one of the UAE’s largest, which came into operation in late 2014.

Sales volume growth has also had a knock-on effect of increased operational efficiency across Arkan’s plants, driving greater capacity utilisation and leading to a reduction in unit production costs, which also helped boost the company’s bottom line.

CEO Abdellatif Sfaxi said the double-digit revenue and profit growth reflects Arkan’s strong fundamentals, operational excellence and superior building materials offering that have enabled it to weather a general trend of increased volatility and price pressure in the sector.