RAK Ceramics reports first quarter results
RAK Ceramics, a global manufacturer of lifestyle ceramics solutions, announced its results for the first quarter ended 31 March 2015.
The period has seen stable growth in RAK Ceramics’ performance with net profit increasing to AED60.4 million from AED58.7 million in Q1 2014, despite challenging global financial conditions and downward pressures from increased gas prices, foreign exchange fluctuations and hyperinflation in countries where RAK Ceramics operates.
Several initiatives have been implemented in the first quarter to manage growth and improve operational efficiencies. On the cost side, initiatives to save on raw materials resulted in cost savings of AED7.8 million in the first quarter. Growth initiatives included, launching 25 new formats of tiles at international exhibitions and appointing 5 new senior executives to strengthen corporate governance structures in line with our re-focused strategy to support growth and create value.
Abdallah Massaad (top image), Chief Executive Officer of RAK Ceramics, said: “Another major part of our focus will be on investing in strategic business activities across our Focus Markets with a highly disciplined approach. Like the rest of the markets, we feel the headwinds from oil and gas prices and currency fluctuations, but we’ve taken contingency measures against expected distress in 2015. ”