Woqod posts QR548m net profit in first half

Doha: Qatar Fuel Company (Woqod) has recorded a net profit of QR548m (excluding minority rights) for the first half of 2019, an increase of QR45m or 9 percent compared to QR503m reported for the same period in 2018.

The achieved increase in profit levels is attributable to the increase in sales as well as the efforts exerted towards enhancing the capability and efficiency of the Group activities and business operations and to the reduction of General and Administrative expenses.

Earning Per Share for the period, amounted to QR0.55 per share compared to QR0.51 per share for the same period of the year 2018, also showing a 8 percent increase.

In respect of projects, the number of Woqod operated fuel stations amounted to 85 stations compared to 58 stations for the same period of the year 2018. Additionally Woqod has signed new contracts to build 29 petrol station during the second half of 2019, taking the number of stations to 114 stations by the end of 2019 which will result into doubling the number of operating stations.

The construction of new petrol stations contributed to the increase of Woqod share of petroleum products retail distribution market to 80 percent at the end of the first half of 2019, compared to 62 percent for the corresponding period of 2018.

With regard to the Group’s operations, the Group ‎achieved 2 percent overall growth in total sales volumes during the period compared to the same period last year, which comprises of Jet A1 sales increase by 7 percent, ‎Bitumen by 2 percent, LPG by 3 percent, Natural Gas & Compressed Natural Gas by 58 percent and Heavy Fuel Oil by 62 percent. Diesel sales volumes declined by 8 percent. The growth is attributable to market factors and the efficiency and promptness of the supply chain.

Retail sales volumes of petroleum products has achieved an overall increase of 29 percent, wherein diesel increased by 11 percent, Super Gasoline by 47 percent and Premium Gasoline by 29 percent, while other retail sales revenue, including Sidra stores, grew by 13 percent.

Saad Rashid Mohammed Al Muhannadi Managing Director & CEO, noted that Woqod has undertaken the necessary measures for splitting the nominal value of shares from QR10 to QR1 per share to comply with the requirements of Qatar Financial Markets Authority (QFMA). This will ensures adequate liquidity of its shares in the Qatar Exchange. He also noted that Woqod is now included in two international indices viz. FTSE and MSCI.

He further emphasised that the Group management and Board of Directors will exert their best efforts to maintain and consolidate the company profitability and its position as a sole downstream oil & gas distribution company in the State of Qatar, in order to achieve company vision, mission and strategic objectives as a pioneer company in the region, as well as the development of a strong, modern and robust downstream oil & gas distribution sector of international caliber in furtherance of the State of Qatar overall infrastructure modernization plan.

Source from: The Peninsula