DOHA: Aamal Company, one of the GCC’s fastest growing diversified companies, recorded a net profit of QR88.7m for the first quarter of 2014, reflecting 56.2 percent increase compared to the same period in 2013.
The group’s revenue for Q1, 2014 is up 39 percent to QR638.8m compared with QR459.8m for Q1, 2013. Net profit margins increased to 13.3 percent year-on-year. Reported earnings per share are up 46.2 percent to QR0.14.
Net investment in capital expenditure fell by QR26.1m to QR12.4m (Q1, 2013 QR38.5m), driven by the completion during the year of phase 1 of the City Center Doha expansion project and the Advanced Pipes and Cast Company plant.
There were no fair value gains on investment properties in either Q1, 2014 or Q1, 2013; net profit is stated after the deduction of head office costs but before the deduction of non-controlling interests.
Excluding share of profits of equity accounted for investments in associates and joint ventures in April 2013, Aamal issued and capitalised bonus shares so Q1, 2013 EPS has been adjusted accordingly.
Sheikh Faisal Bin Qassim Al Thani, Chairman of Aamal, said: “As Qatar continues to evolve into a modern, diversified and industrial economy, the most effective way we believe to capture, and contribute to, the significant opportunities that are being made available is to be a company with leading market leadership positions across the entire Qatari economic spectrum. This is what Aamal does and will continue to do so as we strengthen our existing positions whilst also seeking out new opportunities to develop, whether alone or in conjunction with leading multinationals who see Aamal as the partner of choice when wanting to enter the Qatari market. The laying of these very strong foundations is now starting to pay off handsomely as illustrated with earnings per share for this first quarter up by over 46 percent.”
Sheikh Mohamed bin Faisal Al Thani, Vice-Chairman of Aamal, commented: “We believe that we have the right business model to participate in, and benefit from Qatar’s diversification away from a predominantly hydrocarbon based economy into a modern, industrial and knowledge-based one. Without wanting to appear complacent, we believe that the very strong start to 2014, particularly as it is made up of a combination of revenue growth and margin expansion, vindicates this strategy and we look forward to building further on these very strong foundations.”
Tarek El Sayed, Managing Director, said: “As well as growing both revenues and margins, it is important to note that net profits grew across all four divisions at Aamal Company. It is these strengths in both depth and breadth that are the key hallmarks of Aamal: a market leader in these relevant sectors that span the entire economy, thereby offering a unique direct and balanced exposure to Qatari growth.”The Peninsula
