Dubai-based contractor Arabtec Holding has announced that its CEO Hamish Tyrwhitt is stepping down from his role with immediate effect.
Peter Pollard, Arabtec’s group chief financial officer, has been appointed as the acting group CEO, Arabtec said.
The reason for his departure was not revealed.
Tyrwhitt, who took his the role of CEO in November 2016, previously worked with Australian construction contractor Leighton Holdings.
He was also serving as the CEO of Depa Group – in which Arabtec bought a 24 per cent stake in 2012. He remained CEO of Depa until May 1, and remains on the board as a non-executive director.
Arabtec’s announcement came as the company announced a 49.5 per cent drop in its first quarter net profit to reach Dhs31.8m, down from Dhs63m in Q1 2018.
Revenues during the quarter fell by over 16 per cent to Dhs2bn, while the group’s project backlog stood at Dhs14.8bn.
The company said it experienced a contraction in margins year on year during Q1, attributable to lower revenue from a slowdown in awards in the construction sector coupled with a number of legacy projects closing out in the coming months.
The group also recognised an Dhs7.8m loss on its investment in Depa, it said.
Overall debt reduced by Dhs249m in the quarter, while the company said it is “progressing” with the refinancing of its term debt, which will provide a sustainable platform.
“We remain confident that, with the strong pipeline of opportunities across our addressable markets, we will see more awards in the coming quarters across the construction and industrial sectors,” said Pollard.
“We continue to focus selectively on countries that offer a strong, sustainable pipeline of construction, infrastructure and industrial opportunities including the United Arab Emirates, Saudi Arabia, Bahrain, Kuwait and Egypt.”