Woqod Group has posted a QR707mn net profit in 2020, it was announced on Wednesday during the annual board of directors meeting held virtually, and was presided over by chairman Ahmed Saif al-Sulaiti.

The board discussed and approved (inter alia) the performance of business operations and financial results of Woqod Group for the fiscal year ended on December 31, 2020, compared to the results achieved in 2019.

Net profit for 2020 (excluding minority rights) slid 42% compared to QR1.21bn achieved in 2019.

Earnings per share in 2020 amounted to QR0.71 compared to QR1.22 in 2019, while shareholders equity dropped by about 1.3% to reach about QR8.6bn over QR8.7bn in 2019.

The decline in net profit and earnings per share was attributed to the slowdown caused by the spread of Covid-19. The company managed to reduce its negative impact by taking several proactive steps and initiatives to ensure continuity of its business under these critical circumstances.

In addition, the company continued efforts to implement its policy of increasing efficiency and rationalising expenditures, which had a significant impact on reducing the decline in profits achieved compared to 2019.

Woqod CEO and managing director Saad Rashid al-Muhannadi said there was an upward trend in results for the third and fourth quarters of 2020 driven by increased fuel sales and market recovery from the impact of Covid-19.

Based on the company's profits in 2020, and taking into account the requirements of current and future projects, Woqod intends to establish through the approved five-year business plan, the board has recommended to the company's upcoming annual shareholders general assembly to approve a dividend distribution to shareholders of QR0.46 per share.

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