Arabtec to call EGM as company posts H1 losses of $216m - Arabianbusiness

Arabtec to call EGM as company posts H1 losses of $216m - Arabianbusiness:

UAE-based building giant Arabtec Holding is to call an extraordinary general meeting to discuss future options for the group after posting a net loss of AED794 million ($216m) for the first six months of the year.

Revenue also dropped from AED4.213 billion ($1.147bn) in the first six months of 2019 to AED3.026bn ($824m) for the same period this year.

The losses were attributed to Arabtec Construction, while other core businesses, including Target (industrial), Arabtec Engineering Services (infrastructure) and EFECO (MEP) were said to be trading profitably.

In a statement to Dubai Financial Market (DFM), the company blamed the losses on tight liquidity in the real estate and construction sector, a slowing real estate market resulting in few new awards, limited settlement and recoverability of contractual claims, and the impact of Covid-19.