Another set of strong results from Oasis Leasing

Gross profit rose 36% to AED 31.5 million reflecting the increase in leased assets, which grew 29% to AED1,733 million. During the year Oasis entered the shipping market with a 50% investment in a new 170,000 tonne bulk carrier and also acquired a second Boeing 777 wide body aircraft on lease to Malaysian Airlines for 10 years.

Whilst the headline operating profit of AED 18.6 million was marginally down on the previous year (AED 20 million) this was due to unfavourable trading conditions in the second half of the year, and particularly in the aftermath of September 11.

As Gordon Dixon, Chief Executive explained, it is important to understand the underlying performance of the company. He said: "Taking out the asset trading we did in 2000, there was actually a 76% improvement in the underlying performance of the company. Also, as a result of the events of September 11 and the uncertainty in the market we took a decision to terminate a number of projects, writing off AED 1.8 million in unrecoverable expenses as a result.

He continued: "In summary, while the headline net profit figure is lower by AED 10.2 million at AED 25.8 million, the true comparison before asset trading and unrecoverable expenses, shows an increase of AED 1.1 million or 4%."

Since its formation four years ago Oasis Leasing has delivered AED 588 million of revenue and net profits of AED 82 million. At the same time operating assets have increased from AED 684 million to AED 1,733 million, and earnings per share have risen from 0.008 to 1.644.

The Oasis Leasing strategy is to grow the company in a structured manner, building up a portfolio of assets and diversifying into other sectors such as shipping and infrastructure. The overall aim is to achieve sustainable profitability coupled with growth.

The company believes that 2002 will be an important year as it focuses on growth and investing for the future. Gordon Dixon added: " We believe that the full effects of the downturn and September 11 have yet to fully work their way through the market and, it is important that we position ourselves to take advantage of the undoubted opportunities that the recovery will present."