Annual profits

MTCC announces 21% increase in annual profits in 2021

Maldives Transport and Contracting Company (MTCC) reports an increase in the company’s after-tax profit of 21% in 2021.

According to the state-owned company, the notable increase in after-tax profit is directly due to improved activities in the construction and dredging segments of the company.

Despite recording an annual improvement in after-tax profit in 2021 compared to 2020, it was confirmed that MTCC reported a 20% decline in gross profit margin and another 12% decline in profit margin net in 2021.

The MTCC reports that the decline in profit margin is subject to the increase in material prices with the subsequent increase in logistics and freight costs due to the current Covid-19 pandemic.

In addition, the company reports total group revenue of MVR 1,967 million, with the major segments of the company contributing to the total revenue as follows;

– Construction and dredging – 1,637 million MVR (2020: 1,116 million MVR)

– Trade – MVR240 million (2020: MVR180 million)

– Transport – 58 million MVR (2020: 51 million MVR)

Additionally, the MTCC reports that revenue from construction and dredging activities increased 47% in 2021 compared to 2020.

Overall, MTCC reports a 43% annual increase in company revenue.