Welcome!

.NET Authors: Liz McMillan, Jim Kaskade, Lori MacVittie, Yeshim Deniz, Ivan Antsipau

News Feed Item

OCI Announces 9M 2012 Results

CAIRO, EGYPT -- (Marketwire) -- 11/28/12 --


Results as at 30 September 2012

Cairo, Egypt / 28 November, 2012 8:00 AM

    OCI Reports 31% Decline in Earnings During the Third Quarter

Summary of Consolidated Results for Q3 2012 (1):

- Consolidated revenues increased 1.0% to USD 1,371.1 million (EGP
8,305.3 million) versus USD 1,357.8 million (EGP 8,093.7 million) in
Q3 2011

- EBITDA decreased 18.9% to USD 300.6 million (EGP 1,821.1 million)
versus USD 370.6 million (EGP 2,208.7 million) in Q3 2011

- Consolidated EBITDA margin of 21.9% and Construction Group EBITDA
margin of 9.0% duringQ3 2012

- Net income decreased 30.7% to USD 126.8 million (EGP 769.2
million) versus USD 182.9 million (EGP 1,090.2 million) in Q3 2011
Summary of Consolidated Results for 9M 2012:

- Consolidated revenues decreased 2.3% to USD 3,999.2 million (EGP
24,174.3 million) versus USD 4,092.9 million (EGP 24,237.1 million)
in 9M 2011

- EBITDA decreased 20.4% to USD 848.4 million (EGP 5,127.1
million) versus USD 1,066.0 million (EGP 6,312.7 million) in 9M 2011

- Consolidated EBITDA margin of 21.2% and Construction Group EBITDA
margin of 10.4% during9M 2012

- Net income decreased 38.6% to USD 340.7 million (EGP 2,059.0
million) versus USD 554.7 million (EGP 3,281.9 million) in 9M 2011

Consolidated Construction Group Backlog

- Consolidated backlog as at 30 September 2012 stood at USD 5.64
billion reflecting a decrease of 4.3% over the backlog as at 30 June
2012 and a decrease of 5.2% over the same period last year

- New awards totaled USD 361.5 million during the quarter

- Infrastructure and industrial work constitute 66.6% of the
Construction Group backlog as at 30 September 2012

(1) Consolidated financial figures presented in this press release are
unaudited

Statement from the Chairman and Chief Executive Officer - Nassef
Sawiris

Our third quarter results have declined year-on-year. EBITDA and net
income fell by 18.9% and 30.7% respectively primarily due to the
seasonal slowdown in the Construction Group's work and a decline in
margin from 10.8% during the second quarter to 9.0% during the third
quarter as a result of some provisioning on several projects. Overall,
net income increased from USD 119.4 million in the second quarter to
USD 126.8 million in the third quarter on the back of strong results
from the Fertilizer Group.

In November, natural gas supply to both our plants in Egypt witnessed
drastic supply cuts arising from unscheduled stoppages in the natural
gas grid for maintenance works. The pressure is only gradually
returning in the third week of disruptions and stoppages. In order to
minimize production down time, EBIC successfully brought forward its
scheduled three week maintenance turnaround from the fourth week of
November to the second week. EFC has also brought forward its revamp/
maintenance turnaround at one of its urea lines from the first quarter
of 2013 to the fourth quarter of 2012. The natural gas supply
shortfalls will have an impact on our fourth quarter production
utilization rates and results.

We continue to expect strong demand for our fertilizer products
supported by strong fundamentals. Farmers in the United States have
witnessed record income despite the fall in yields. A drop in yields
and growing demand for crops (especially corn and wheat) will bode well
for fertilizer prices.

In the United States, both OCI Beaumont and Iowa Fertilizer Company
(IFCo) have made noticeable progress over the last several months. OCI
Beaumont's ammonia and methanol lines are now operational. The plant is
now producing ammonia at the designed capacity of 250 thousand tons and
methanol at 70-80 % of designed capacity of 750 thousand tons per annum.

IFCo, our new Greenfield plant in Wever, Iowa, was issued its air
permit by the Iowa Department of Natural Resources (IDNR) last month
and the plant broke ground last week in an event attended by the
Governor of Iowa. The Construction Group was awarded the Engineering,
Procurement and Construction (EPC) contract to build the plant and
Maire Tecnimont and ThyssenKrupp Uhde will be supplying
state-of-the-art technology for the project. The construction of the
plant is scheduled for completion during the summer of 2015. The plant
will produce 1.5 - 2.0 million metric tons of urea, urea ammonium
nitrate (UAN), ammonia and diesel exhaust fluid (DEF) upon completion
and will supply farmers in the US Corn Belt. The total investment cost
of the project is now expected to be approximately USD 1.65 billion
and will be funded with a combination of equity and a tax-exempt bond
issuance.

In Algeria, Sorfert Algeria expects to complete all mechanical works on
Line II at the end of December. Once these works are complete, all
necessary permits will be obtained during the first quarter of 2013
ahead of the planned full-fledged commercial production. Our team is
working closely with our partner to ensure all planned works are
complete on time and all necessary permits are obtained. We expect
Sorfert Algeria to start contributing to earnings during the first half
of 2013.

In addition, the Fertilizer Group announced that it has acquired
distribution rights of ammonium sulphate (AS) produced by Lanxess N.V.
at its Antwerp facilities in Belgium. The distribution rights were
acquired from Fertiva GmbH, a wholly owned subsidiary of Eurochem. The
deal entails up to approximately 1 million metric tons of AS including
granular AS, a premium fertilizer product. OCI's wholly owned
subsidiary, Netherlands-based OCI Nitrogen currently distributes
approximate 0.75 million metric tons of AS produced by DSM N.V. in the
Netherlands. Combined, the Fertilizer Group expects to annually
distribute 1.75 million tons of AS in both standard and granular form,
making it a leading supplier in the European market and in Brazil.

The Construction Group reported a 4.3% decrease in backlog over the
previous quarter and the backlog as at the end of the third quarter
stood at USD 5.64 billion. New work secured during the third quarter
totaled USD 361.5 million and USD 1.49 billion during the first nine
months. The Group is increasing its focus on the United States'
infrastructure program and petrochemical construction market in
addition to expanding its presence and work in Saudi Arabia and Iraq.

The Construction Group recently announced that it will acquire the
Weitz Company, a general contractor based in Des Moines, Iowa. The
Group has already received Weitz's Board approval for the transaction
and an agreement has been signed. At present, final shareholders'
approval is pending but expected imminently. The Group is expected to
pay a total consideration of less than USD 90 million on an enterprisevalue
basis.

The Weitz Company will be pivotal in the construction of IFCo and will
allow the Construction Group to bid on infrastructure and industrial
opportunities in the United States market in addition to commercial and
federal work. We expect to start consolidating Weitz's results and
backlog during the fourth quarter.

The Egyptian Tax Authority has been reviewing the tax years 2005 -
2010. Our auditors and tax advisors have presented all necessary
documentation to the authorities. We are confident that new laws will
not be applied retroactively and that our legal and financial position
is in accordance with paragraph 8 of article no. 50 of law no. 91 of
2005, which clearly exempts all capital gains resulting from the sale
of shares listed on the Egyptian Stock Exchange (EGX).

On the planned demerger of the company's construction business from its
fertilizer business, we continue to work with the Egyptian Financial
Supervisory Authority (EFSA) to receive final procedural approvals for
the demerger, however no progress has taken place since October.


For additional information contact:
OCI Investor Relations Department:
Omar Darwazah
Email: [email protected]

Erika Wakid
Email: [email protected]
Hassan Badrawi
Director

Tel: +202 2461 1036/0727/0917
Fax: +202 2461 9409

For additional information on OCI:

www.orascomci.com

OCI stock symbols: OCIC.CA / OCIC EY / OCICqL / ORSD / ORSCY

Orascom Construction Industries (OCI)
Nile City Towers - South Tower
2005A Corniche El Nil
Cairo, Egypt

                    This information is provided by RNS
          The company news service from the London Stock Exchange

END

Contacts:
RNS
Customer
Services
0044-207797-4400
Email Contact
http://www.rns.com

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce the value of the network in helping organizations to maximize their company’s cloud experience.
Cultural, regulatory, environmental, political and economic (CREPE) conditions over the past decade are creating cross-industry solution spaces that require processes and technologies from both the Internet of Things (IoT), and Data Management and Analytics (DMA). These solution spaces are evolving into Sensor Analytics Ecosystems (SAE) that represent significant new opportunities for organizations of all types. Public Utilities throughout the world, providing electricity, natural gas and water, are pursuing SmartGrid initiatives that represent one of the more mature examples of SAE. We have s...
Disruptive macro trends in technology are impacting and dramatically changing the "art of the possible" relative to supply chain management practices through the innovative use of IoT, cloud, machine learning and Big Data to enable connected ecosystems of engagement. Enterprise informatics can now move beyond point solutions that merely monitor the past and implement integrated enterprise fabrics that enable end-to-end supply chain visibility to improve customer service delivery and optimize supplier management. Learn about enterprise architecture strategies for designing connected systems tha...
IoT is still a vague buzzword for many people. In his session at Internet of @ThingsExpo, Mike Kavis, Vice President & Principal Cloud Architect at Cloud Technology Partners, will discuss the business value of IoT that goes far beyond the general public's perception that IoT is all about wearables and home consumer services. The presentation will also discuss how IoT is perceived by investors and how venture capitalist access this space. Other topics to discuss are barriers to success, what is new, what is old, and what the future may hold.
Whether you're a startup or a 100 year old enterprise, the Internet of Things offers a variety of new capabilities for your business. IoT style solutions can help you get closer your customers, launch new product lines and take over an industry. Some companies are dipping their toes in, but many have already taken the plunge, all while dramatic new capabilities continue to emerge. In his session at Internet of @ThingsExpo, Reid Carlberg, Senior Director, Developer Evangelism at salesforce.com, to discuss real-world use cases, patterns and opportunities you can harness today.
All major researchers estimate there will be tens of billions devices – computers, smartphones, tablets, and sensors – connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be!
Noted IoT expert and researcher Joseph di Paolantonio (pictured below) has joined the @ThingsExpo faculty. Joseph, who describes himself as an “Independent Thinker” from DataArchon, will speak on the topic of “Smart Grids & Managing Big Utilities.” Over his career, Joseph di Paolantonio has worked in the energy, renewables, aerospace, telecommunications, and information technology industries. His expertise is in data analysis, system engineering, Bayesian statistics, data warehouses, business intelligence, data mining, predictive methods, and very large databases (VLDB). Prior to DataArcho...
Software AG helps organizations transform into Digital Enterprises, so they can differentiate from competitors and better engage customers, partners and employees. Using the Software AG Suite, companies can close the gap between business and IT to create digital systems of differentiation that drive front-line agility. We offer four on-ramps to the Digital Enterprise: alignment through collaborative process analysis; transformation through portfolio management; agility through process automation and integration; and visibility through intelligent business operations and big data.
There will be 50 billion Internet connected devices by 2020. Today, every manufacturer has a propriety protocol and an app. How do we securely integrate these "things" into our lives and businesses in a way that we can easily control and manage? Even better, how do we integrate these "things" so that they control and manage each other so our lives become more convenient or our businesses become more profitable and/or safe? We have heard that the best interface is no interface. In his session at Internet of @ThingsExpo, Chris Matthieu, Co-Founder & CTO at Octoblu, Inc., will discuss how thes...
Last week, while in San Francisco, I used the Uber app and service four times. All four experiences were great, although one of the drivers stopped for 30 seconds and then left as I was walking up to the car. He must have realized I was a blogger. None the less, the next car was just a minute away and I suffered no pain. In this article, my colleague, Ved Sen, Global Head, Advisory Services Social, Mobile and Sensors at Cognizant shares his experiences and insights.
We are reaching the end of the beginning with WebRTC and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will want to use their existing identities, but these will have credentials already that are (hopefully) ir...
Can call centers hang up the phones for good? Intuitive Solutions did. WebRTC enabled this contact center provider to eliminate antiquated telephony and desktop phone infrastructure with a pure web-based solution, allowing them to expand beyond brick-and-mortar confines to a home-based agent model. It also ensured scalability and better service for customers, including MUY! Companies, one of the country's largest franchise restaurant companies with 232 Pizza Hut locations. This is one example of WebRTC adoption today, but the potential is limitless when powered by IoT. Attendees will learn rea...
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at Internet of @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, will share some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, deploy, and manage applications integrating voice, video and data. He is the co-founder ...
The Internet of Things (IoT) promises to create new business models as significant as those that were inspired by the Internet and the smartphone 20 and 10 years ago. What business, social and practical implications will this phenomenon bring? That's the subject of "Monetizing the Internet of Things: Perspectives from the Front Lines," an e-book released today and available free of charge from Aria Systems, the leading innovator in recurring revenue management.
The Internet of Things will put IT to its ultimate test by creating infinite new opportunities to digitize products and services, generate and analyze new data to improve customer satisfaction, and discover new ways to gain a competitive advantage across nearly every industry. In order to help corporate business units to capitalize on the rapidly evolving IoT opportunities, IT must stand up to a new set of challenges.
There’s Big Data, then there’s really Big Data from the Internet of Things. IoT is evolving to include many data possibilities like new types of event, log and network data. The volumes are enormous, generating tens of billions of logs per day, which raise data challenges. Early IoT deployments are relying heavily on both the cloud and managed service providers to navigate these challenges. In her session at 6th Big Data Expo®, Hannah Smalltree, Director at Treasure Data, to discuss how IoT, Big Data and deployments are processing massive data volumes from wearables, utilities and other mach...
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Erik Lagerway, Co-founder of Hookflash, will walk through the shifting landscape of traditional telephone and voice s...
While great strides have been made relative to the video aspects of remote collaboration, audio technology has basically stagnated. Typically all audio is mixed to a single monaural stream and emanates from a single point, such as a speakerphone or a speaker associated with a video monitor. This leads to confusion and lack of understanding among participants especially regarding who is actually speaking. Spatial teleconferencing introduces the concept of acoustic spatial separation between conference participants in three dimensional space. This has been shown to significantly improve comprehe...
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, will discuss single-value, geo-spatial, and log time series data. By focusing on enterprise applications and the data center, he will use OpenTSDB as an example...
SYS-CON Events announced today that Gridstore™, the leader in software-defined storage (SDS) purpose-built for Windows Servers and Hyper-V, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Gridstore™ is the leader in software-defined storage purpose built for virtualization that is designed to accelerate applications in virtualized environments. Using its patented Server-Side Virtual Controller™ Technology (SVCT) to eliminate the I/O blender effect and accelerate applications Gridsto...