Agility posts US$221m profit

Share
2 min read
The board of directors has recommended no dividend distributions for the year 2022.
Share
  • The company has ramped up its credit facilities in order to fund its growth plan, which includes the acquisition of John Menzies
  • Agility enjoys a healthy balance sheet with $10.72 billion in assets. and the company's net debt stands at $2.60 billion

Kuwait City, Kuwait–Agility has posted a 181 percent jump in net profit to $221 million during 2022.

Its revenue surged to hit KD863.4 million ($2.8 billion), thus registering a 77.6% growth, while its ebitda increased 65.7% to KD180.5 million.

The company’s earnings rose 153.5% from 2021. Agility’s ebitda increased 44.1% to KD157 million, and revenue grew 21.2%.

The supply chain services major enjoys a healthy balance sheet with $10.72 billion in assets. Net debt stood at $2.60 billion as of December 31, 2022 (this excludes lease obligations).

Agility has announced that it has increased its credit facilities to finance its business growth plan, which includes the 2022 acquisition of John Menzies. Reported operating cash flow was KD100 million for the full year of 2022.

Vice Chairman Tarek Sultan said: “Agility had a strong 2022, marked by two major acquisitions that are reshaping the company and creating new opportunities. But like all businesses, we face global economic uncertainty in 2023, as well as uncertainty regarding government land lease policy in Kuwait.”

“It’s important to emphasize that we take a long-term view in value creation. When it comes to our controlled businesses, Agility’s acquisition of Menzies and Tristar’s acquisition of HG Storage helped us accelerate growth, expand our geographic reach, and increase our exposure to sectors that have strong future growth potential,” he stated.

“On the investments side, stock market volatility affected our holdings, but we look beyond daily share price movements to the strategic value, growth and returns we believe our investments will deliver for our shareholder over the long-term,:” he added.

Sultan said: “Today, Agility is diversified geographically, operationally, and financially, which helps us reduce the dependency on one country, sector or asset. Our controlled businesses employ a workforce of 45,000 people, who operate on six continents.”

“Ultimately, we’re a different business today than we were even two years ago – and we continue to evolve, grow, and drive value for our shareholders, customers, employees, and communities we operate in,” he stated.

Agility pointed out that for full year 2022, its controlled businesses (the ones which the company controls and operates) collectively reported an ebitda of around KD195.1 million and revenue of KD863.4 million, thus posting an increase of 57% and 77.6% respectively, over 2021.

The performance of this segment will be reported under three groups, Aviation Services, Fuel Logistics, and Other Controlled Businesses, which include Agility Logistics Parks, UPAC, GCS and others, it stated.

Owing to the uncertainty related to public sector policy with respect to land use and the role of private sector in the economy, the board of directors have not recommended any dividend distributions for 2022. This is subject to the approval of the AGM, it added.

SPEEDREAD


MORE FROM THE POST