DOHA: Gulf International Services (GIS), the largest services group in Qatar, with interests in a broad cross-section of industries, ranging from insurance, re-insurance, onshore and offshore drilling, accommodation barge, helicopter transportation, and catering services, announced its financial results for the nine months period ended September 30, 2016 with a revenue of QR2.3bn and net profit of QR189m, down from QR3.3bn and QR822m, respectively compared to a year ago. The reduction in the revenue was driven by the downward rates-revision and reduced level of activities across all segments of the group due to the challenging market conditions. Revenue in the drilling segment was significantly impacted by the lower daily rates and utilization of rigs following the drilling price plunge, which have adversely affected most of GDI contracts. Aviation segment revenue was also down on 2015 due to lower flying hours, downward rate revisions and reduced operations across the region.
Catering and Insurance segment’s revenue were moderately affected due to demobilization of contracts and lower rates on new contracts. Nonetheless, the group is continuously working on improving its revenue through a number of initiatives including exploring new opportunities in and outside of Qatar.
Earnings per share was QR1.02 for the period ended September 30, 2016, compared to QR4.42 for the same period of 2015. This year-on-year decrease was primarily due to the reduced revenue despite a notable improvement in the operating costs. The group is actively engaged in a series of initiatives to decrease its operating cost across the group companies.
