Nakilat (Qatar Gas Transport Company) has reported a net profit of QR409mn in the first half (H1) of this year amid lower finance costs.
However, net profit was lower by more than 18% due to lower number of “charter hire days” in the current period compared to the year-ago period (2016 was a leap year), the effect of changing the estimated scrap value of vessels in accordance with applicable international accounting standards as well as the reduced operations of a few joint ventures.
Income from the wholly-owned vessels stood at QR1.52bn in January-June this year against QR1.53bn in the corresponding period of previous year.
“Nakilat perseveres despite the current economic environment through its steady growth in all its operations. The H1 2017 has seen successful transitions of four vessels into Nakilat in-house management, bringing total vessels operated by Nakilat to 16 to date,” its managing director Abdullah Fadhalah al-Sulaiti said. 
The company’s timely repayment of the periodic loan instalments resulted in reduced finance costs, which stood at QR582.14mn compared to QR594.27mn in H1, 2016. Nakilat continues with its cost rationalisation efforts to remain competitive while pursuing initiatives to further drive operational efficiencies across its operations, its spokesman said. 
Its steady performance reflects the company’s prudence and effective strategic business plans for rapid growth and development.
Highlighting that Nakilat signed a memorandum of understanding with Hoegh LNG, forming a strategic alliance to explore floating terminal project, al-Sulaiti said, “This collaboration is a strategic move for Nakilat as we are always looking at opportunities to venture into leading-edge technologies and diversifying solutions to deliver clean energy worldwide, which further strengthens Qatar’s position in the energy portfolio.”
Recognising the challenges ahead, he said Nakilat continues to assess its current investments in relation to profitability to address any risk involved for the company and its shareholders.
“Although Nakilat anticipates continued challenges, we remain focused on effective and efficient measures of control to steer the company forward,” he said, adding this comes in view of Nakilat’s vision to be the global leader for energy transportation and maritime services, which ultimately contributes to the development of an integrated maritime industry in Qatar.
Total assets were valued at QR29.77bn, comprising current assets of QR2.84bn and non-current assets of QR26.93bn at the end of June 30, 2017.
Its total equity (after hedging reserve and before non-controlling interests) stood at QR5.13bn on a capital base of QR5.54bn and earrings-per-share was QR0.74 the end of H1, 2017.