Al Jazeera Steel Products to pay 20pct cash dividend

25/03/2014 22:01 AST

Times of Oman reported that Global Buyout Fund 51% owned Al Jazeera Steel Products Company which is a listed company on the Muscat Securities Market will distribute 20% in cash dividends for 2013, the largest dividend payment in the history of the company.

Although Al Jazeera's revenues dropped slightly to OMR 88.3 million in 2013 as compared to OMR 98.3 million in 2012 the company continues to achieve record profits in the highly challenging steel market.

Al Jazeera was able to achieve outstanding profits for the fourth consecutive year with the highest profits in the history of the company being made in 2013 with OMR 4.6 million in net profits compared to OMR 3.4 million in 2012 an increase of 33%.

This performance is mainly attributed to the efficient management of purchases and inventory in light of volatile steel prices and the dumping of Chinese and Turkish products. It is worth mentioning that the company has achieved a compound annual growth rate of 22% in revenues for the 2009 to 2013 and a CAGR of 34% in net profits for 2010 to 2013.

Mr Sulaiman Al Rubaie chairman of Al Jazeera Steel Products Company representing Global Buyout Fund said that "We are proud to have another successful year for Al Jazeera and its stakeholders. Al Jazeera has achieved, for the fourth consecutive year, tremendous growth and performance backed by a relatively stable demand and a strong order book. These outstanding results could not have been achieved without the efficient purchasing and inventory management, cautiousness of the management team and their exceptional performance in these challenging market environments."

He said that "The GBF team has played a major role in realising the company's turnaround strategy and growing the business through its tight supervision in the implementation phase, opening up new areas for development and strengthening the management team over the last several years. The GBF team has helped the company recover the losses incurred in 2009, restructured the company and paved the way for unprecedented profitability."

Times of Oman