Sheikh Faisal bin Qassim Al Thani, Chairman of Aamal
Doha: Aamal Company (Aamal), one of the leading diversified companies in the region, announced yesterday its half-yearly financial results for the current year reporting a gross profit of QR154.8m, down 31.6 percent compared to QR 226.2m for the same period last year.
Total revenue of the Aamal Group for the period stood at QR634.0m, which has decreased marginally by 0.3 percent compared QR 636.1m in H1 2019.
Net Profit before fair value loss and share in results of associates and joint ventures accounted for using the equity method amounted to QR65.6m in H1 2020 against QR141.2m in H1 2019. It has reported a net profit of QR19.7m for the six months against QR183.1m for the same period previous years (H1 2019).
Net loss before share in results of associates and joint ventures accounted for using the equity method (net underlying profit) amounted to QR8.8m compared to QR141.2m for the same period last years
Sheikh Faisal bin Qassim Al Thani, Chairman of Aamal, said: “The COVID-19 crisis continues to evolve and to impact, in different ways, the many sectors across which Aamal operates. Our priority remains the health and safety of our employees and customers, as well as continuing to take whatever action we can to help support the national economy through the pandemic in line with our national and corporate responsibilities.
Sheikh Mohamed bin Faisal Al Thani, CEO and Managing Director of Aamal
“To support our valued retail tenants during these hugely challenging times, Aamal approved the waiver of rents for our retail units during the second quarter of 2020.
While this decision negatively impacted Aamal’s financial results for the period, we believe that supporting our tenants in this way is the right thing to do.”
He added: “As we reported in the first quarter, companies in the Trading and Distribution segment have acted swiftly and effectively to support Qatar’s communities during the pandemic, including launching services for the home delivery of medicines. As the pandemic peaked in Qatar during the second quarter, Ebn Sina Medical and Aamal Medical in particular continued to work tirelessly to ensure that customers continued to receive a reliable supply of critical medicines and medical equipment.”
Sheikh Faisal noted that in addition to enduring the enforced operational suspension of a number of the company’s Managed Services and Trading and Distribution businesses, the impact of the pandemic has exacerbated the intense competition and major project postponements experienced across the industrial manufacturing segments in which it operates. “In response to these, we have instigated a wide-ranging review of these operations that will better ensure that they perform as efficiently, as effectively and as competitively as possible going forward.”
“We are pleased to report that from May 2020 Aamal has been included in the MSCI Qatar Small Cap Index. The MSCI is a leading provider of research-based indexes and analytics, and its indexes are often used as benchmarks by the global investment community to measure portfolio performances.
“Looking ahead, 2020 will continue to be a challenging year as companies around the world deal with the impact of COVID-19. However, Aamal’s Board of Directors and management team remain confident in the Group’s ability to navigate effectively through these challenges and to return to growth in 2021, supported by Qatar’s robust economy, the resilience provided by Aamal’s diverse business model and the Group’s financial strength. I look forward to updating shareholders regarding future developments in due course.”
Sheikh Mohamed bin Faisal Al Thani, CEO and Managing Director of Aamal, said: “The global nature of the COVID-19 pandemic and the uncertainty around its progression, severity and duration will continue to be felt throughout the remainder of 2020. However, continued cost control and working capital management, and the resilience provided by our diverse business model will enable Aamal to continue our progress in delivering our long-term strategy as the pandemic subsides.”
A conference call to discuss the results will be held on August 6, 2020 at 2pm (local time).
