DOHA: Gulf International Services (GIS), one of the largest services groups in Qatar, reported 18 percent growth (y-o-y) in the Group’s total revenue at QR2.2bn for the first nine months of this year ended September 30, 2019 compared to the corresponding period last year.
The Group has averaged an EBITDA (earnings before interest, tax, depreciation and amortisation) of QR526m, representing a marginal decline of 4 percent compared to the same period of last year. Net profit for the nine month period reached QR35m, a decline of 12 percent compared to the same period last year.
GIS Group has interests in a broad cross-section of industries, ranging from insurance and re-insurance to onshore and offshore drilling, accommodation barge, helicopter transportation and catering services, today announced its financial and operational results for the nine month period ended 30 September 2019.
The revenue growth, supported by the strong operational performance, was largely reflective of the growth recorded by insurance and drilling segments. For the nine month period ended 30 September 2019.
Revenue for the third quarter of this year (Q3 2019) reached QR767m, representing an increase of 2 percent compared to the second quarter of 2019. Net profit for the third quarter of 2019 advanced 31 percent to reach QR5.3m compared to QR4m in the second quarter of 2019.
With regard to the business performance and outlook of the Group, since the beginning of 2019, GIS has undertaken commendable measures aimed at improving its financial performance through cost optimisation, supported by stronger operational performance. The Group continues to execute some of the initiatives, which are in various stages of completion and are on track.
The financial results reflected continued performance by the drilling segment, demonstrating a strong recovery due to high utilization of its offshore rigs. The insurance and aviation segments also delivered improved set of financial results, contributing to the Group’s bottom line, mainly led by market share gains and the introduction of new business lines.
Commenting on the Group’s performance, GIS management, said: “GIS delivered an improved set of financial and operational results led by the Group’s focus on high utilization of its assets, combined with a commitment to expand market share. The strategy has particularly helped the drilling and insurance segments to contribute to the Group’s performance. The Group continues to work on rationalizing operating costs, which are at various stages of implementation to reposition the Group’s market standing. Also, the Group has embarked on new initiatives to improve the capital and debt structures and we are confident that this would further improve the overall operational efficiency in the near future.”
The Group’s total assets largely remained unchanged at QR10.5bn as at September 30, 2019. On the liquidity front, the closing cash, including short-term investments, stood at QR1.1bn with a total debt of QR4.9bn as at September 30, 2019.
GIS will host an IR Earnings call of its third quarter earnings with investors to discuss its results, business outlook and other matters on Tuesday, November 5, 2019 at 1:30pm. The IR presentation that accompany the conference call will be posted on the publications page of GIS.
