Qatar Navigation (Milaha) has reported a net profit of QR267m for the first six months (H1) of this financial year ended June 30, against QR553m for the corresponding period last year.
Despite the difficult shipping market environment Milaha’s operating revenues for the period (H1 2017) touched QR1.1bn, which is about 21 percent down compared to QR1.4bn posted for the same period in 2016. Earnings per share was QR2.35 for the H1 2017, compared to QR4.86 for the same period in 2016.“We are in the midst of an unusually prolonged global downturn across most marine sectors. However, we remain financially strong and will continue to invest prudently for the long term,” said Sheikh Ali bin Jassim Al Thani (pictured), Chairman of Milaha’s Board of Directors.
Abdulrahman Essa Al Mannai, Milaha’s President and CEO, added: “We are actively taking steps to mitigate the impact of the current downturn, from both a cost as well as revenue perspective. In this regard, we see a number of short and medium term opportunities to position ourselves more strongly for when markets improve.”
Milaha Maritime & Logistics’ net profit declined by QR46m, mainly due to continued pricing pressure in container shipping, and lower profits from its Ports business.
Milaha Gas & Petrochem’s net profit declined by QR96m driven by depressed rates and vessel oversupply that have impacted most of the tanker and gas carrier sectors the company operates in, in addition to lower profits from its joint venture operations. Milaha Offshore’s net profit declined by QAR30m (excluding one-time impairments of QR45m), driven mainly by global vessel oversupply which in turn has continued to depress charter rates and utilisation.
Milaha Trading’s net profit declined marginally by QR1m due to lower sales volumes of marine fuels and lubricants.
Milaha Capital’s net profit declined by QR68m due to lower held for trading investment returns and an available for sale investment impairment from the first quarter of 2017.
The company will conduct an investor conference call on Thursday, August 22nd, 2017 at 3 pm Doha time, to further discuss its results.
