Third quarter results
Aamal Company QSC (‘Aamal’)
Financial Results for the quarter ended 30 September 2011
Strong growth in Net Profit, up 34.5%
Doha, 23 October 2011 – Aamal Company QSC (Aamal), one of the GCC’s fastest growing diversified conglomerates, announced its third quarter financial results for the period ended 30 September 2011 to the Qatar Exchange on 23 October 2011.
Financial Highlights
- Revenue up 102.3% to QAR 525.1m (Q3 2010: QAR 259.6m), driven principally by the winning of new contracts by the Industrial, and Trading and Distribution divisions
- Gross profit up 39.6% to QAR 98.6m (Q3 2010: 70.6m)
- Net profit*(before fair value gains on investment properties) down 15.0% to QAR 49.8m (Q3 2010: QAR 58.6m)
- Net profit margins** (before fair value gains on investment properties) decreased to 9.5% (Q3 2010: 22.6%) due principally to a change in business mix, with a greater focus on industrial manufacturing; although this tends to be lower margin, it is compensated for by greater sales volumes
- Fair value gains of QAR 29.0m (Q3 2010: nil), relating to City Center Doha
- Net profit* (after fair value gains on investment properties) up 34.5% to QAR 78.8m (Q3 2010: QAR 58.6m)
- Low financial gearing*** at 12.3% (30 June 2011: 14.6%)
- Reported earnings per share****up 27.3% to QAR 0.14(Q3 2010: QAR 0.11)
- Capital expenditure of QAR 38.2m (Q3 2010 QAR 38.1m)
* Net profit is stated after deduction of Head Office costs whilst net profit shown by division below is before deduction of Head Office costs
** Excluding income from associates
*** Net debt to net debt plus equity
**** In April 2011, Aamal issued and capitalized bonus shares so Q3 2010 EPS has been adjusted accordingly (Company share capital increased to QAR 4.95bn from QAR 4.5bn)
Sheikh Faisal Bin Qassim Al Thani, Chairman of Aamal, commented:
“I am delighted to report another good set of results for Aamal Company, with more than a doubling in revenues and strong growth in both net profit and EPS, up 34.5% and 27.3% respectively.We are looking forward to achieving more such milestones in the final quarter of 2011 that will help further to underpin and secure our strong and sustainable growth rate."
DIVISIONAL REVIEW
All Figures in QARm and before deduction of Head Office costs and inter-divisional revenue
INDUSTRIAL MANUFACTURING
| QAR m | Q3 2011 | Q3 2010 | Change |
|---|---|---|---|
| Revenue | 322.7 | 107.7 | 199.6% |
| Net Profit | 10.5 | 5.7 | 84.2% |
TRADING AND DISTRIBUTION
| QAR m | Q3 2011 | Q3 2010 | Change |
|---|---|---|---|
| Revenue | 139.5 | 78.7 | 77.3% |
| Net Profit | 9.4 | 11.2 | (16.1)% |
PROPERTY
| QAR m | Q3 2011 | Q3 2010 | Change |
|---|---|---|---|
| Revenue | 54.3 | 49.7 | 9.3% |
| Net Profit* | 38.6 | 38.0 | 1.6% |
| * before fair value gains on investment properties | |||
MANAGED SERVICES
| QAR m | Q3 2011 | Q3 2010 | Change |
|---|---|---|---|
| Revenue | 11.8 | 15.3 | (22.9)% |
| Net Profit | 1.8 | 3.9 | (53.8)% |
SUMMARY AND OUTLOOK
H.E. Sheikh Mohamed Bin Faisal Al Thani, Vice-Chairman of Aamal, commented:
“The sustained prosperity of the Qatari economy will increasingly depend upon the continuing liberalisation of the Qatari markets and their opening up to competition. For companies to thrive and prosper in such an environment, it is imperative that they retain a competitive advantage.
“Aamal is well positioned to succeed going forward: not only does it attract superior talent and possess superior work practices, it has unparalleled knowledge of the local and regional markets. Furthermore, its diversified conglomerate structure is designed to produce optimal returns,through knowledge transfers and other synergies, whilst also minimizing business risk. This is why I continue to remain very confident about the Company’s future outlook.”
Further enquiries
| Aamal Company | +974 4435 0666 |
|---|---|
| Arwa Goussous, Corporate Communications Manager (mobile # +974 5513 9539) |
[email protected] |
| Citigate Dewe Rogerson | +974 4452 8100 |
| Michael Prest (mobile # +974 3373 5083) |
[email protected] |
| Andrew Hey (mobile # +44 (0)7903 028 448) |
[email protected] |
| Nick Cox-Johnson (mobile # 44 (0)7957 596 729) |
[email protected] |
| For Arabic media | |
| SadeqAlfardan (mobile # +974 5511 7216) |
[email protected] |
About Aamal Company QSC
Aamal Company is one of the GCC’s fastest growing diversified conglomerates, delivering a CAGR in operating profit of 23% from 2006-2010 and generating revenues of QAR 1,217m (US$334m) in 2010. Focused on sustained, profitable growth and strongly diversified for balanced exposure across Qatar’s rapidly growing economy, Aamal’s operations comprise 23 business units with market leading positions in the key industrial, retail, property, managed services and medical equipment and pharmaceutical sectors. Aamal is one of the largest diversified companies quoted on the Qatar Exchange, having been listed since December 2007.
For further information on Aamal Company, please refer to the corporate website: http://www.aamal.com.qa
End of Release
