OCI's headquarters in Cairo (Photo: Reuters)
Netherlands-based fertilizer and construction company OCI NV announced on Thursday that it’s consolidated revenues increased 18 percent to $3 billion in the first half of 2013. Net income, however, reached $56 million in H1 of 2013, a 72.2 percent decrease from the same period last year.
The company reported $2.6 billion in revenues in the same period the last year.
According to OCI NV’s statement, the prominent global company has seen a decline in Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) of 31.2 percent compared to the period Jan-June of 2012. EBITDA reached $367.4 million.
It has attributed the downturn mainly to the limited supply of natural gas to both their plants in Egypt during the first half of 2013.
The interruption of gas extraction was the result of ongoing negotiations with the Egyptian government regarding a tax dispute worth roughly $2 billion from the sale of a subsidiary to La Farge in 2007 for $12 billion.
Also, the firm added that the shortage in gas supply was due to amendments to natural gas supply agreements with Egyptian Natural Gas Company and Egyptian Natural Gas Holding Company, implying reduced amounts of supplied natural gas for both the fertilizer and construction groups of the company.
OCI NV is ranked among the world’s top fertilizer producers with a fertilizer production capacity of nearly 7 million metric tonnes.