DOHA: Aamal Company (Aamal), one of the GCC’s fastest growing diversified companies, yesterday announced net profit of QR153.7m for the first quarter of 2016, showing a rise of 33.7 percent compared to net profit of QR115m in the same quarter last year. Group revenue were up 6.9 percent to QR 679.6m in the first quarter of this year compared to QR635.6m in same quarter last year.
“2016 has started very well for us, continuing on from the excellent set of results that we reported for the full year 2015 back in February. The first three months of this year has seen a near 7 percent rise in revenues, which when combined with an expansion in operating margins, has led to a rise in total net profits of more than one third,” said Sheikh Faisal bin Qassim Al Thani, Chairman of Aamal.
Net capital investment expenditure rose by QR27.9m to QR46.3m, reflecting fleet expansion at the Aamal Maritime Transportation Services subsidiary and Phase 2 of the redevelopment of the City Center Doha shopping mall.
“Our low financial gearing reflects our strong free cash flow generation which is testimony to the focus we put on generating positive returns on the capital that we deploy, thereby helping to sustain our profitable growth and create shareholder value. This low gearing also means that we can move swiftly should we identify suitable commercial opportunities that we would like to exploit. In this quarter, Aamal has continued to grow its operations through organic means, including investing to expand the bulk carrying capacity at Aamal Maritime Transportation Services through the acquisition of a second vessel,” he said.
“I look forward to the remainder of this year and beyond with great optimism. As the Qatari economy continues to evolve and diversify, Aamal is uniquely well placed to reap significant upside through its strong and well-established businesses across the economic spectrum, allied to its ability to act quickly should new and considered opportunities present themselves,” he added.
“Aamal has always been at the forefront of Qatar’s development, helping to drive change as the country continues its rapid modernization. It is a market leader in sectors across the economy and has clearly benefitted from this balanced and diversified strategy, as borne out from this recent set of results. Furthermore, strong foundations have been laid for the Company to evaluate new commercial opportunities often quicker than its competitors, which gives it a key advantage. I am very confident of another successful year for Aamal,” said Sheikh Mohamed bin Faisal Al Thani, Vice-Chairman of Aamal.
Tarek M El Sayed, Managing Director said, “Through our strategy of diversification across key growth markets, Aamal is a leader in meeting the growing demand for increasingly sophisticated and specialised products and services right across the economy. As such, I believe Aamal provides an ideal entry point for investors wishing to gain a broad and balanced exposure to Qatar’s economic growth and development.”
