Orascom Construction has unveiled posting an 8.2% YoY rise to USD 1.6 mn (EGP 25.8 mn) in its H1 2020 revenues, compared to USD 1.5 mn (EGP 23.7 mn) in the year-ago period, despite falling short in profitability, Invest-Gate reports.
Net income dropped to USD 34.8 mn (EGP 552.4 mn) in H1 2020, down from USD 61.5 mn (EGP 976.2 mn) in the prior-year period, Orascom Construction revealed in its earnings release on August 26.
Likewise, consolidated new awards decreased YoY by 6.4% to USD 1.3 bn (EGP 21 bn) during the first half of 2020 versus USD 1.4 bn (EGP 22.5 bn) a year earlier, the statement further stated.
On his part, Osama Beshai, the company’s CEO, confirmed, “[Orascom] succeeded in sustaining our consolidated backlog at USD 5.4 bn [EGP 85.7 bn], in line with the previous quarter, reflecting a YoY increase despite solid project execution.”
Additionally, the Egypt-based company’s operating cash flow turned positive during the second quarter, amounting to USD 53.2 mn (EGP 844.4 mn) in H1 2020, while the net cash position increased significantly to USD 309.4 mn (EGP 4.9 bn) as of June 30, Beshai explained.
Earlier, a consortium made up of Orascom Construction, Arab Contractors, and Bombardier Transportation has broken ground on Egypt’s first-ever monorail line, which will connect east Cairo and the New Administrative Capital (NAC), starting off on the first week of May, according to a previous statement.