Yesterday, the Board of Directors of Aamal Company announced the financial results for the first six months of the current year ending on June 30, 2023. Revenues increased by 9.5% to reach 1,067.4 billion riyals (compared to 974.4 billion riyals during the first half of 2022), due in particular to the strong performance recorded by the trade and distribution sector.
Total profits increased by 3.7%, to reach 238.2 million riyals (compared to 229.7 million riyals in the first half of 2022).
Earnings per share increased by 6.6% to reach 0.026 riyals (compared to 0.025 riyals during the first half of 2022).
Net investments in capital expenditures decreased by 15.5 million riyals, to reach 11.9 million riyals (compared to 27.4 million riyals in the first half of 2022).
The borrowing ratio remains low at 1.70% (compared to 4.1% during the first half of 2022).
His Excellency Sheikh Faisal bin Qassim Al Thani, Chairman of Aamal Company, said, “I am pleased to announce that Aamal Company recorded a strong performance during the first half of this year, as revenues and net profits increased by 9.5% and 5.5% year-on-year, respectively.
He added, “We have once again seen the benefits of our diversification strategy successfully supporting Aamal’s resilience and growth.”
He added, “Our sectors (trading and distribution, real estate, and service management) recorded an increase in net profits. While our industrial sector witnessed a challenging six months, as revenues declined in Aamal Marine Transport Services Company due to lower global freight rates, as well as lower revenues in both Gulf Rocks and Aamal Cables for Trading and Contracting.
He explained that despite these challenges, Senyar Industries’ performance was strong, mainly due to the winning of an important 30-month contract with the Qatar General Electricity and Water Corporation “Kahramaa” for Elsewedy Cables-Qatar, while Readymix (ready-mix concrete) was awarded a contract for a project with the Public Works Authority “Ashghal” with a value of more than 40 million riyals.
In addition, the contract won by Tiga Information Management Company (Tiga) worth 320 million riyals over five years to provide information technology solutions to the healthcare sector in Qatar had a positive impact on the trading and distribution sector.
The real estate sector at Aamal has witnessed promising growth, as the number of tenants in the City Center has increased and occupancy rates have been successfully raised at Aamal Properties. The Service Management segment also continues to perform well as it recovers from the lockdowns and restrictions caused by the COVID-19 pandemic.
Although Family Entertainment Center and Aamal Travel and Tourism have been particularly affected by the pandemic, today we are seeing good progress in both businesses. Moreover, Aamal Services also secured some significant contract wins, including two new contracts with the Ministry of Municipality worth QAR 45 million over three years and two new contracts with Mowasalat worth QAR 100 million over five years.
Sheikh Faisal added, “Our diversified business strategy and proven flexibility support the growth of Aamal Company, and we believe we are in a very good position to seize future opportunities with confidence.”
For his part, Mr. Rashid bin Ali Al Mansouri, CEO of Aamal Company, said, “Aamal Company’s strategy continues to contribute to enabling us to move forward. We are successfully benefiting from the growth prospects presented by the Qatar National Vision 2030 and taking advantage of our prominent position as a major player in the various economic sectors of the country.
Al-Mansoori explained.. By enhancing the financial strength of existing and identified projects and working quickly to seize new business opportunities as they arise, we are ready to add long-term value to our shareholders.
He added, “The diversification of our business model and the resolute pursuit of organic and inorganic growth opportunities have played a pivotal role in strengthening our position in many vital sectors of the market.”
In line with that, we recently announced plans for Aamal Services Company to acquire the Maintenance and Property Management Solutions Company (MMS). We are also looking at a range of other opportunities and will update our market as needed and in due course.
Al-Mansoori affirmed Aamal’s unwavering commitment to the Qatari community. As part of our ongoing efforts, we had the pleasure to recently announce the Aamal Ride, an important event that will be taking place in November which we very much hope will widely promote health awareness and encourage citizens to take advantage of the health benefits of sport and to adopt an active and healthy lifestyle.
