Industrial manufacturing drives Aamal’s profit

Aamal’s solid performance for the financial year 2016 is a reflection of inherent qualities of the conglomerate’s business model, Aamal Company Chairman Sheikh Faisal bin Qassim Al Thani said yesterday.
Addressing the Annual Ordinary General Meeting (AGM), Sheikh Faisal said the 7.3 percent increase recorded in the underlying profits before fair value gains on investment properties has been driven by expansion in the overall margin, despite the subdued oil price and the associated retrenchment in customer spending.
Aamal will continue to achieve sustainable growth through optimization of its current business activities, including capitalizing on operational synergies, which is looking for new opportunities to create new and profitable revenue streams.
The company is not only positioned to profit directly from Qatar’s growing economy, but to contribute directly to its further development and diversification. This helps to create benefit for a wide range of stakeholders.
“We will continue to track Qatar’s rapid economic development to identify sectors that offer investment opportunities for sustainable growth and returns by meeting the increasingly sophisticated needs of the local market-from industrial manufacturing, to trading, to business services, to property. We believe in building strength through careful diversification. We have established a successful track record of delivery against this strategy, often in collaboration with world class partners in their respective markets.”
The AGM approved the board’s recommendation to distribute dividends to the current shareholders the sum of 6 percent (QR 0.6 for each share) of the nominal value of each share of the Company that they own (QR0.6 per share).
Sheikh Mohamed bin Faisal Al Thani, Vice Chairman and Managing Director of Aamal who delivered the Chairman’s report said that the industrial manufacturing division of Aamal generated over 35 percent of the company’s net profit for the year 2016, compared to 23 percent for the previous year.
Development of infrastructure remains a key corner stone to Qatar’s strategy to diversify from being a predominantly hydrocarbon-based economy. From being one of the first private companies in Qatar to identify early on these emerging industrial opportunities and capitalising on them, has resulted in Aamal now being recognized as a market leader across a range of industrial activities.
This offers significant levels of synergies, not just in cost terms but greater customer appeal which translates into higher revenues, Sheikh Mohamed said.
Sheikh Mohamed said Aamal’s executive management is committed to creating value that is in the best interests of all stakeholders of the company by optimising the returns through operational efficiencies.