Milaha (Qatar Navigation) has reported a net profit of QR759mn, translating into QR6.68 earnings-per-share, on QR1.99bn revenues during the first nine months of this year.
Its net profit stood at QR959mn, rendering earnings-per-share of QR8.44, on QR2.3bn operating revenues in the comparable period of 2015.
“Due to the weaker macroeconomic conditions and volatility in our core sectors, we continue to operate in a challenging environment. In the face of these difficult times, however, Milaha remains focused on investing for the future and pursuing the best growth opportunities domestically and internationally,” Sheikh Ali bin Jassim al-Thani, Milaha chairman, said.
Highlighting that maritime and logistics unit’s overall revenue declined 13%; Milaha said the port services continued to be “negatively” impacted by lower revenues from ancillary services, non-containerised general cargo, and RORO (roll-on/roll-off).
In addition, despite growing market share and volumes, the container shipping unit was “negatively” impacted by rate pressure, its spokesman said.
“Shipping is experiencing some of the most difficult conditions we have seen since the financial crisis. Despite these difficulties and the drop in earnings relative to the same period last year, Milaha’s net profit margin remains a healthy 38%,” according to Abdulrahman Essa al-Mannai, Milaha’s president and chief executive.
Offshore revenue declined 17% on account of weakness in oil prices and the resulting cuts in investments by the oil and gas majors.
Trading division’s revenue dropped 26% on lower heavy equipment sales compared to high levels witnessed last year and Milaha Capital’s revenue declined 21% with lower dividend income from the first quarter continuing to hamper full segment results.
However, Milaha Gas and Petrochem’s revenue expanded 24% as a result of the full-period impact of the investment in two liquefied natural gas carriers made in the second half of 2015.