DUBAI, May 14 (Reuters) - Dubai’s Drake & Scull (DSI) reported a 38 percent drop in first-quarter profit on Thursday, missing an analyst’s estimate as revenue fell, and it warned that difficulties in Saudi Arabia would affect its performance this year.
The contractor made a net profit attributable to shareholders of 25.1 million dirhams ($6.83 million) in the three months to March 31, down from 40.3 million dirhams in the year-earlier period, according to a statement to Dubai’s bourse.
GLobal Investment House had forecast DSI would make a first-quarter profit of 38 million dirhams.
DSI’s first-quarter revenue was 1.11 billion dirhams, down from 1.25 billion dirhams a year earlier.
“Despite the volatile market conditions and the liquidity crunch in our industry, we managed to remain profitable,” the company said in the statement.
“We are still dealing with some major operational setbacks in Saudi Arabia which will continue to have a far-reaching effect on our performance in 2015.” It did not elaborate.
$1 = 3.6730 UAE dirhams Reporting by Matt Smith; Editing by Andrew Torchia