Aamal Company has posted a gross profit of QR104.9 million for the first quarter of 2022, up 10.4 percent from QR95 million recorded in the same period last year.
The company’s total revenue saw a 45 percent jump during the period, from QR312.7 million to QR453.5 million. The company attributed the growth to “particularly strong performance of the industrial manufacturing segment”.
“There were no fair value gains on investment properties in either in Q1-2022 or Q1-2021,” Aamal said.
Net profit attributable to Aamal equity holders stood at QR73.6 million, up 8.4 percent from QR67.9 million in Q1-2021. This translates to an 8.4-percent jump in earnings per share, from QR0.011 in Q1-2021 to QR0.012 in Q1-2022.
Net capital expenditure increased by QR7.2 million to QR14.3m from QR 7 million, mainly due to investments in the property segment. Gearing decreased to 4.1 percent (Q1 2021: 4.7 percent)
Chairman of Aamal Sheikh Faisal bin Qassim Al Thani said, “…Aamal has had an excellent start to the year with all four segments delivering positive top-line growth, enabling us to report strong revenue growth of 45% year-on-year and net profit growth of 8.4% for Aamal Company as a whole.
“We look forward to the remainder of 2022 with confidence and remain committed to generating long-term shareholder value through the continued profitable operation and expansion of our diversified business platform and leveraging the opportunities provided by the 2030 National Vision. Furthermore, the upcoming FIFA World Cup is expected to provide a further economic boost to Qatar this year, and we remain well positioned to grasp the opportunities this landmark event provides.”
Chief Executive Officer and Managing Director Sheikh Mohamed bin Faisal Al Thani said, “Aamal’s strong performance in the first quarter of this year is testament to the clear sector focus of our strategy, with a particular focus on Industrial Manufacturing, Healthcare and Real Estate.
“Our Industrial Manufacturing segment performed particularly well, with revenue up more than 125% year-on-year. This performance was achieved despite challenges faced by Aamal Readmix stemming from rising direct materials costs, fierce price competition, and a slowdown in demand as projects conclude ahead of the FIFA World Cup. Aamal Maritime Transportation Services performed very well thanks to sustained high demand and increased global shipping rates.
“In the Trading and Distribution segment, Ebn Sina Medical – one of the largest business units in the segment – delivered a sustained positive performance throughout the first quarter, signing agreements with five new healthcare distributors which provide a range of medications. These distributors include well-known names such as Novartis Gene, Durbin Plc, Baxter AG, Tabuk Pharmaceuticals, and SAJA Pharmaceuticals. Ebn Sina Medical also diversified its business through the addition of a “medical detailing” offering, through which a team of pharmacists provide medical and scientific support for healthcare professionals.
“Meanwhile, the outstanding revenue and net profit performance of our Managed Services segment is largely attributable to the easing of pandemic-related restrictions on our entertainment and printing businesses, as well as a significant contract win for Aamal Services. We are also pleased to report the launch of ‘Aamal for Car and Truck Maintenance’, a new business unit within the Managed Services segment which will provide maintenance services for the Group’s fleet of vehicles. Permits are currently being finalised and construction of the business unit’s workshop is scheduled to start in June. We look forward to this new business unit commencing operations in late 2022 or early 2023.
“Finally, in our Property segment City Centre Doha continued to perform exceptionally well, opening six new shops with a total area of 3,838 sqm, including Debenhams, and other restaurants at the East Food Court.”