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Tabreed Second Quarter Revenue Surges 22 Per Cent

DUBAI — National Central Cooling Company PJSC, ‘Tabreed’ the Abu Dhabi-based utility company released its second quarter 2009 consolidated financial results on Wednesday.

For the six months ending 30 June 2009, total revenue increased by 22 per cent and gross income increased
 by 12 per cent.

Before certain non-cash finance costs associated with the company’s 2011 Convertible Sukuk, consolidated net income increased by 12 per cent over the same period inline 
with gross income.

The increase in gross income was largely due to an increase in billing capacity while delivering improvements in plant efficiency. After the mark-to-market non-cash finance costs, reported consolidated net income fell by 4 per cent over the same period in 2008.

“During the first six months of 2009 there have been a number of significant management, operational and process changes at Tabreed. In particular, a strong emphasis is being placed on increasing operational efficiencies to enhance the yield that we derive from the assets we’ve invested in over the last 11 years. These changes reflect the mandate of the Board of Directors to better align Tabreed’s business strategy with the infrastructure demands of Abu Dhabi. However it is important that the business continues to deliver solid results through this transitionary period. I believe the results we have just announced demonstrate the strong fundamentals of our business and the commitment of all of our employees to improve performance. The changes that we are implementing are not yet fully in place but I am confident that once complete, they will position the company to continue to improve performance and deliver on the expectations of our
 shareholders,” said Sujit S. Parhar, Tabreed Chief Executive Officer

Steve Ridlington, Tabreed CFO said: “Given the difficult economic climate of 2009, Tabreed’s first half results, which show a 22 per cent increase in revenues and a 12 per cent increase in underlying net income compared to last year, represent a significant achievement. We are particularly pleased about the improving results from our chilled water business as new capacity comes on stream. This will deliver long term and stable revenues for the
 company’s future.”

However, the remainder of 2009 will be challenging for Tabreed reflecting the continuing difficult trading conditions. Our focus must continue to be on the fundamentals – safeguarding our customer base, delivering the pipeline of new projects, and securing long-term financing to enable us to meet the region’s infrastructure demands.”


business@khaleejtimes.com