Net income – OMR5.45 million, +12% Y-o-Y, +56% Q-o-Q, +50% EFGe Revenue – OMR72.8 million, -7% Y-o-Y, +12% Q-o-Q, +14% versus EFGe   Oman Cables (OC) has released its 4Q2015 headline results. Consolidated earnings after minority interest came in at OMR5.45 million (+12% Y-o-Y, +56% Q-o-Q), coming in significantly above our estimate of OMR3.65 million (+50%). Even though the full details are not yet available, we believe better-than-estimated revenue and strong margins (led by high margin product sales mix) likely led to the earnings beat. The company reported consolidated revenue of OMR72.8 million (-7% Y-o-Y, +12% Q-o-Q), 14% above our estimate of OMR64.0 million.   The parent company (copper cables division) reported net profit of OMR6.3 million (+27% Y-o-Y, +121% Q-o-Q), 109% above our earnings estimates of OMR3.0 million, which drove the earnings beat at the consolidated level. The division reported sales revenue of OMR60.7 million (-6% Y-o-Y, +14% Q-o-Q), 17% above our estimate.   OAPIL (Aluminum division) reported net loss before minority interest of OMR0.2 million (versus net profit of OMR0.3 million in 4Q2014, OMR1.2 million in 3Q2015), missing our net profit before minority estimate of OMR1.2 million although revenue was in line with our estimate of OMR12.1 million. We will provide more details on the factors that led to earnings miss once the detailed financials are out.   Our view: Very strong set of consolidated numbers, despite being challenged by weak business environment and volatile commodity prices. We will likely revisit our estimates for 2016 post the release of FY2015 full financials and after we discuss with management if 4Q2015 improvement is sustainable. Although we maintain our positive outlook for the company in the medium term due to its stable financials and infrastructure developments in the region, the short-term challenges from commodity prices and any slowdown in infrastructure spending in the region would be an overhang on margins; hence, we already forecast a fall in 2016 earnings in our latest update.   The shares have been on a weak trend over the last few weeks and are now trading at 2016e P/E of 10.0x and 6.0% dividend yield. (Earnings release, Sameer Kattiparambil)