Figures in the table above have been rounded
Agility’s Financial Results for Q1, 2015
Agility today announced its financial results for the first quarter of 2015, reporting a net profit of KD 11.8 million, an increase of 5% compared to the first quarter of 2014. Earnings-per-share stand at 10.79 fils. Revenues for the first quarter stand at KD 318.1 million, a 1% increase compared to the same period last year. EBITDA stands at KD 23.4 million, a 4% increase compared to Q1 of 2014.
“We continue to build momentum within our business and have started the year on a good note. Global Integrated Logistics has seen further margin expansion in this quarter by focusing on strengthening its operating platform, maintaining financial discipline, and focusing on high-growth markets, products, and verticals. We will continue to drive change within the organization to maximize the potential of this business. Our infrastructure group of companies posted another healthy quarter fueled by new opportunities in Emerging Markets,” said Tarek Sultan, Agility’s CEO.
Agility’s Global Integrated Logistics
Revenue for Agility Global Integrated Logistics (GIL) for the first quarter of 2015 was KD 248.0 million. After adjusting for currency translation, this represents an increase of 2% compared to Q1 of 2014. Continued growth in contract logistics in emerging markets, coupled with improved yields in the air freight business, resulted in a net revenue improvement of 1%, with margins expanding from 23% in Q1 2014 to 24% in Q1 2015.
GIL’s road map remains consistent. First, continue to drive commercial improvement through a tradelane management approach and focus on high growth markets and industries. Second, continue transforming the underlying business through ongoing technology, process and management improvements. Third, maintain financial discipline and a lean and agile structure that is in-line with business needs.
Agility’s Infrastructure Group
Agility’s Infrastructure companies contributed KD 70.3 million to first quarter 2015 revenues, a 15% increase over Q1 2014. Agility Real Estate, the largest contributor in the group, grew its revenues by 5% in Q1 2014, compared to the same period in 2014. Other Infrastructure companies have also reported a healthy growth in this quarter and are making progress in new customer acquisition and geographic expansion, particularly in Africa.
“Agility’s Infrastructure portfolio of companies continues to be an important driver of financial performance, consistently reporting healthy year on year growth,” said Sultan. “The companies, operating across a broad spectrum of logistics-related services, from bulk fuel storage and transport, to industrial real estate development and management, to airport and ground handling services, to commercial real estate and facilities management, are well poised to take advantage of niche market segments in fast-growing regions in the Middle East, Asia and Africa.”
Recap of Financial Performance for Q1 2015
· Agility’s net profit stands at KD 11.8 million, a 5% increase from KD 11.2 million in Q1 2014. EPS was 10.79 fils, compared to 10.26 fils a year earlier.
· EBITDA stands at KD 23.4 million, a 4% increase from the same period a year before.
· Agility’s revenues for the Q1 2015 are KD 318.1 million, an increase of 1% from KD 314.3 million in the same period in 2014. Agility’s net revenues increased by 3% over the same period.
· GIL’s revenue stands at KD 248.0 million and after adjusting for currency translation, this represents an increase of 2% compared to the same period in 2004 (a 2% decrease on a reported basis).
· Infrastructure’s revenue was KD 70.3 million compared with KD 61.1 million in Q1 2014, a 15% increase from Q1 2014.
· Agility enjoys a healthy balance sheet, with a net cash position of KD 70 million as of 31st March 2015, and free cash flow of KD 12 million for the 1st quarter 2015.
“Although the global economy continues to be in stop and start mode, we are cautiously optimistic about our start to this year. We started out on a good note, driving margin expansion in GIL and revenue growth in our Infrastructure portfolio. GIL will continue to sharpen its strategic focus in terms of customers, markets, and products, as well as build capacity in its business through operational transformation and a commitment to strong execution. The Infrastructure companies will each pursue their individual strategies, but we expect that as a group, they will remain and important and growing contributor to the group’s profitability,” said Sultan.