EGA Turns In Higher Production, Financial Numbers for 2016

EGA Turns In Higher Production, Financial Numbers for 2016

UAE’s Emirates Global Aluminium released results for fiscal year 2016 yesterday. The firm’s financial and production numbers were both higher over the previous year’s results.

EGA’s net income for the year totaled AED2.1 billion, a ten-percent increase year-on-year. EBITDA came in at AED5.0 billion, equal to that of last year. The firm credits its focus upon cost management and operational efficiencies for the positive financial results.

Revenue for the year totaled AED17.1 billion, a 9% fall from 2015’s total of AED18.7 billion. The firm chalks up the lower revenue number to depressed global aluminium prices.

On the production front, EGA set a record in 2016 by turning out 2.5 million metric tons of primary aluminium, up by 100 thousand metric tons over production in 2015. Fully 82% of the firm’s production last year was higher-value value-added production, an increase from 77% in 2015.

“The hard work of EGA’s employees delivered strong financial performance in 2016 despite challenging conditions in the global aluminium market,” said EGA’s managing director Abdulla Kalban. “This is a result of our focus on cost management, operational efficiencies, continuous improvement of our technology, and responsiveness to the needs of our customers around the world. I am pleased with the progress we have made in 2016 in strengthening EGA’s position in the industry and contributing further to the industrial diversification of the UAE.”

EGA made significant progress last year in expanding upstream operations and securing a steady supply of bauxite for its refineries. The board approved a twelve-million-metric-ton-per-annum mine in Guinea last year, and construction on the new alumina refinery in Al Taweelah (with a final nameplate capacity to be two million metric tons per annum) made significant progress over the course of 2016 as well.

Based in Abu Dhabi, United Arab Emirates, EGA is an aluminium conglomerate created by the merger between Dubai Aluminium and Emirates Aluminium in 2013. EGA holds interests in bauxite/alumina and primary aluminium smelting. It has a yearly production of aluminium of 2.4 million metric tons, making it one of the five largest primary aluminium producers in the world.