Tabreed income jumps 29% on core business.
National Central Cooling Company, known as Tabreed, on Sunday said its net profit increased by 29 per cent to Dh236.3 million on rising customers for chilled water business.
The core chilled water business and improved operational efficiencies continued to drive profitability, with customer connections increasing by nearly 64,000 RT (refrigeration tonnes) during 2012.
"Our stable performance is founded upon the success of our strategy to develop the core chilled water business and reduce the contribution of the non-core value chain businesses," Tabreed chairman Waleed Al Mokarrab Al Muhairi said in a statement.
The group revenue remained unchanged at Dh1.13 billion compared to Dh1.11 billion in 2011 in line with expectations as the phase-out of the non-core businesses continued, according to the statement.
"Looking ahead, we will continue our focus on serving current and future customers, and maximising the returns from our existing assets through further cost discipline and efficiency gains," Al Muhairi said.
Chilled water revenue increased by 7 per cent to Dh1.01 billion, compared to Dh943.8 million in 2011. Profit from chilled water operations increased by 27 per cent to Dh347.1 million over Dh274.4 million in 2011, driven by economies of scale and enhanced efficiencies.
"Tabreed continues to partner with the region's leading organisations and is proud to provide vital cooling infrastructure that enables greater economic development and diversification across the GCC," the chairman said.
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