GWC, Announces Record Revenue and Strengthening Profit Figures in its 2011 Financial Results
Gulf Warehousing Company (GWC), Qatar’s leading logistics company experienced an overall positive development in 2011. The increase in sales at the business segment solutions is the expression of continued positive developments in industry-related fields, i.e. General Cargo and warehousing. Higher volume in Freight services has also made a significant contribution. Freight volume in sea grew slightly above expectation and air freight more significantly above the volume for the comparative period in 2010.
GWC generated a significant increase in revenue of QR 420 million in 2011 which is higher by 379.2 % compared to the same period last year (2010 : QR88 million). Revenue in 2011 was driven by growth in the warehousing and distribution sectors and continued improvement in the Retail market. New contract wins of note include Shell GTL and Darwish Trading.
Net profit for 2011 was reported at QR 61.7 million, up 21% on the same period of the previous year (2010 : QR51 million). General and administration cost has increased only by 189% as compared with the previous period against our revenue growth of 379%. The increase in administration cost and operating expenses is due to the company’s expansion in operationally setting up Phase 1 of the Logistics Village Qatar and also due to growth in freight revenues.GWC also generated free cash flow of QAR 84.4 million. The core elements of our finances are rock solid and this is demonstrated by the business segment’s performance. This yearperformance has enabled us to serve Qatar’s logistics development even further by introducing some niche solutions such as chemical warehousing and Fine Arts Logistics. The introduction of these added services makes GWC a truly one-stop-shop for an integrated supply chain.
In the year 2011, GWC saw a decline in EPS to QR 1.56 against QR 2.04 of last year. The 23.5% drop of EPS compared to 2010 was due to the valuation gain from investment property in 2010 financials amounting to 35.8 million which contributed an EPS of QR 1.43 in last year. Excluding this gain, EPS of 2010 was QR 0.61 and with that, GWC has a growth of 156% in EPS of 2011.
During 2011 financial year GWC has progressed several important transformational projects which will support company’s mid and long term development. “We are pleased with the results of these transformational projects which include upgrading systems and processes within our Freight, Warehousing and Transport Management Network and some of our global support functions. These programs are key foundations to enable us to drive GWC forward for future success,” said Mohammed Ismail Al-Emadi, Chairman of GWC.