Mannai Corporation’s investment in French IT services group GFI Informatique helped raise its 2016 net profit to reach QR535mn amid “subdued economic conditions,” company chairman Sheikh Hamad bin Abdulla bin Khalifa al-Thani said in his report to the annual general assembly yesterday.
The report was presented on Sheikh Hamad’s behalf by Mannai vice chairman Sheikh Suhaim bin Abdulla bin Khalifa al-Thani.
“It is well known that economic conditions in the Gulf were tough in 2016. In the circumstances, the net profit of Mannai in 2016 of QR535mn, just slightly ahead of the QR532.8mn in 2015, is considered a good outcome for the company in such subdued economic conditions,” Mannai vice chairman Sheikh Suhaim bin Abdulla bin Khalifa al-Thani told shareholders at the meeting at Grand Hyatt Doha.
He added, “Encouragingly, the contribution from our investment in GFI Informatique in France in 2016 fully met expectations, boosting net profit and helping to compensate for the softer conditions in our Qatar and regional businesses.
“As I have commented in the past, the diversification of Mannai’s business in terms of products, services, and geographic spread continues to underpin its strength,” Sheikh Suhaim said in his address as the annual general meeting approved a 40% cash dividend, which translates into QR4 per share.
The vice chairman said, over the last 10 years, Mannai’s total assets have grown from QR1bn to almost QR8bn today. Similarly, capital and reserves have increased from QR529mn to QR2.58bn “in support of that growth.”
Sheikh Suhaim said Mannai recorded a group turnover of QR4.88bn, while the group’s overseas operations contributed 44.53% of its overall profit. He also said earnings per share amounted to QR11.73, while return on equity is 22%.
Alekh Grewal, Group CEO and director, said “Earnings from GFI informatique acquired during the year helped in reporting another year of record profit. The company’s strategy of diversifying its earnings geographically and across different business segments has enabled the company to maintain its level of profits and is well positioned to take advantage of its diverse capabilities across the various business segments and geographies.”
Sheikh Suhaim also said, “The economic outlook remains uncertain as regional economies continue to adjust to changed revenue streams, and as businesses in the GCC prepare for the introduction of Value Added Tax in January 2018, and its impact on consumers.
“However, the stabilisation measures taken in the Gulf economies will ultimately be good for business and I remain confident that the diversity of Mannai’s business, together with the opportunities from the development of Qatar’s infrastructure, will continue to sustain Mannai’s performance going forward.”
Business / Business
Mannai Corp stake in GFI Informatique helps boost 2016 net profit to QR535mn
Sheikh Suhaim addressing Mannai Corporation’s annual general meeting at Grand Hyatt Doha yesterday.
