Agility records 26 per cent rise in third-quarter profits

11 November 2013

Kuwait-based company’s profits rose to $42.7m, while revenues dropped

Kuwait-based logistics company Agility recorded a net profit of KD12.1m ($42.6m) during the third quarter of 2013, an increase of 26 per cent compared with the same period last year.

Agility’s quarterly revenues dropped 9 per cent year-on-year to KD267.1m, which it says is the result of a challenging global environment and trade conditions.

During the first nine months of 2013, the company reported a net profit of KD33.8 m, a 40 per cent increase compared with the same period last year. Revenues remained flat during that period.

“We continue to make steady progress in improving the bottom line, by controlling costs and improving productivity across our business,” says Tarek Sultan, chairman and managing director of Agility. “That said, the slowdown in the global economy impacted our revenues, yet we were still able to report better on the net revenues level. Our infrastructure group is showing good progress and we are excited about our most recent wins.”

At the beginning of November, the company announced its majority-owned fuel logistics subsidiary Tristar Transport had signed a contract with the UK/Dutch Shell Group for six new medium-range products tankers. The estimated contract value for the seven-year period is $200m.

Agility is looking to expand its presence in emerging markets as it refocuses its business. Its Emerging Markets Logistics Index has classed economies such as Indonesia, Turkey, Vietnam, Mexico, the UAE and South Africa as “rising stars” ripe for investment over the next five years.

Agilty has dual listings, on the Kuwait Stock Exchange and the Dubai Financial Market (DFM).

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