RAK Ceramics to expand in Saudi Arabia with new facility

RAK Ceramics on Wednesday announced its intention to invest in a state-of-the-art production facility in Saudi Arabia that utilizes the latest technology in ceramics manufacturing.

In the first phase, the facility will initially add approximately 10 million square meters per annum to RAK Ceramics’ tile total production capacity, the company said in a statement.

“The company is optimistic for growth in Saudi Arabia due to increasing construction and real estate activity and the attractive cost advantages for manufacturing due to competitive energy costs,” Abdallah Massaad, group CEO of RAK Ceramics, said.

The ceramics manufacturer reported an ‘all time high’ total gross profit margins of 33.2 percent in fiscal year 2018, as a result of operational efficiencies, the consolidation of Saudi Arabian entities and higher gross profits in the UAE and tableware businesses.