(The Group’s Comments) Aamal’s Net Profit Drops to QAR 181.85 Million for the First Half of 2019

 

July 30, 2019

 

Profits: decreased by 20.5% to QAR 181.9 million in the first half of 2019, compared to QAR 228.9 million for the same period of 2018, while the company’s earnings per share amounted to QAR 0.03 versus QAR 0.04 for the corresponding period of 2018. The increase in consumption and financing expenses, in addition to the decrease of the company's share of the profits of associates, resulted in the decline of the company’s profitability. As for the second quarter, Aamal posted a net profit of QAR 85.4 million, compared to QAR 113.1 million for the same quarter of 2018.

 

Revenues: decreased by 2.54% to QAR 636.1 million in this first half, compared to QAR 652.7 million for the same period of 2018 due to a decrease of QAR 39 million in manufacturing revenues. Commercial and distribution activities grew by 6% to QAR 21 million, while real estate activities decreased slightly by 1.8%.

 

Operating Profit: amounted to QAR 155.3 million for the first half of 2019, compared to QAR 176.5 million for the same period of 2019, a decrease of 12% as a result of the increase in administrative and general expenses by QAR 7.5 million. The company's implementation of Standard No. 16 had an impact on the increase in depreciation expenses by QAR 6.6 million, and a partial impact on the climb of financing costs by QAR 13.7 million due to the increase in the balance of loans with an amount of 356 million and Standard No. 16 as mentioned above.