Drake & Scull Cuts Losses, Secures Dh1 Billion in UAE Contracts
Drake & Scull Reduces Accumulated Losses by Dh2 Billion
Drake & Scull reduced its accumulated losses from Dh5 billion to just over Dh2 billion. Additionally, it actively pursues legal cases to recover outstanding receivables. Recently, a UAE court ordered its ex-CEO and another official to pay Dh151.9 million. Although legal delays previously slowed collections, the company’s restructuring efforts have significantly improved the situation. The Dubai Court approved the restructuring plan in late 2023, and the company fully implemented it in June 2024, further stabilizing its financial position.
Legal Efforts and Financial Recovery
To strengthen its financial position, Drake & Scull actively pursues legal actions to reclaim pending payments. The company remains committed to resolving outstanding disputes and improving liquidity. As a result, its financial health continues to improve, ensuring sustainable operations.
Drake & Scull Secures Dh1 Billion in UAE Contracts
Drake & Scull is expanding its footprint with new contracts across the UAE, Egypt, and Saudi Arabia. Furthermore, it has secured projects worth Dh1 billion in the UAE, strengthening its market presence. A recent contract win in India further highlights its global expansion efforts.
“With restructuring behind us, we focus on execution and delivering exceptional projects,” said Sheikh Theyab bin Tahnoun bin Mohammad Al Nahyan. “Our goal is to rebuild client trust and create sustainable shareholder value.” Furthermore, the company’s strategy aligns with infrastructure investments in the UAE and GCC, positioning it for long-term success.
Drake & Scull Reports Dh3.76 Billion Profit for 2024
Company achieved a net profit of Dh3.76 billion in 2024, reversing a Dh267 million loss. The company’s liability write-back of Dh3.79 billion played a crucial role in this financial turnaround. Additionally, revenues for 2024 reached Dh103.7 million, while gross profit rose to Dh5.3 million.
Strategic Debt Reduction and Future Plans
“2024 marks a new chapter as we complete one of the industry’s largest restructurings,” said Sheikh Theyab. “We have strengthened our balance sheet through debt reduction and fresh capital injection.” Moving forward, the company prioritizes expansion and profitability, leveraging its engineering and construction expertise.
Drake & Scull Expands Market Reach
Company actively seeks new contracts in the UAE, GCC, and beyond. Its restructuring enhances its ability to secure major projects. Moreover, the region’s construction sector growth aligns with its expertise. Looking ahead, the company plans to enhance project execution and expand business development. With a revitalized financial position, Drake & Scull aims for long-term success. Investors and stakeholders express renewed confidence in its growth strategy, ensuring sustainable profitability in the years ahead.