27/02/2018 06:28 AST
Qatar Navigation (Milaha) yesterday announced a net profit of QR470m for the full-year 2017.
Operating revenues decreased by 2 percent to QR2.491bn for the twelve months ended December 31, 2017, down from QR2.551bn for the same period in 2016. Operating profit decreased by 19 percent to QR448m for the twelve months ended December 31, 2017, down from QR555m for the same period in 2016. Earnings per share decreased to QR4.14 for the twelve months ended December 31, 2017, down from QR6.26 for the same period in 2016.
Milaha Maritime & Logistics' net profit declined by QR23m in 2017 compared to 2016, mainly due to QR33m in vessel impairments in our Container Shipping unit. Excluding impairments, the segment outperformed 2016 by 7percent, largely due to a strong increase in container volumes in our Port Services unit.
Milaha Gas & Petrochem's net profit declined by QR269m in comparison to 2016. The shipping sectors in which we operate continued to face significant challenges in 2017, which impacted both commercial performance as well as vessel valuations.
Milaha Offshore's bottom line declined by QR71m in 2017 compared to 2016 driven by the significant drop in oil prices which negatively impacted the exploration and production value chain, including offshore vessels and related services.
Milaha Capital's net income increased by QR129m as a result of strong returns on our investment portfolio.
Milaha Trading's net income declined by QR7m in 2017 compared to 2016, mainly as a result of reduced margins in marine fuel and lubricant sales.
"Despite the unexpected events and ongoing industry-wide challenges during the year, Milaha remained profitable in 2017 driven by a stronger operating performance in the third quarter onwards, which we believe, sets the stage for a successful 2018. Going forward, we will continue to focus on driving growth and executing on our strategic priorities," said Sheikh Ali bin Jassim Al Thani, Chairman of Milaha's Board of Directors.
For his part, Milaha's President and CEO Abdulrahman Essa Al Mannai said: "We finished 2017 with strong momentum to carry us into 2018 and beyond. This reflects the success of the new shipping routes and supply chain solutions we launched throughout the year. Additionally, we continued to improve the cost structure of our businesses, expand our value proposition, and we remain on track to deliver sustained short and long-term growth."
The Board of Directors decided to recommend to the General Assembly, which will be held at 4PM on March 18 2018 at the Four Seasons Hotel in Doha, Qatar, to distribute a 35 percent cash dividend, equivalent to QAR 3.5 per share.
The company will conduct an investor conference call on Monday, March 5, 2018 at 2pm Doha time, to further discuss its results.
The Peninsula
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