Milaha (QNNS) Q2 2024 earnings summary

Executive summary

• Operating revenues for H1 2024 were QR 1,434 million, down 5% year-over-year from QR 1,510.8 million.

• Net profit for H1 2024 was QR 628.3 million, a 3% decline from the prior year.

• Earnings per share for H1 2024 stood at QR 0.55, compared to QR 0.57 in H1 2023.

• Segment results were mixed: Maritime & Logistics and Trading saw significant profit declines, while Gas & Petrochem and Capital posted profit growth.

• The Board authorized the interim financial statements on 12 August 2024.

Financial highlights

• Operating profit for H1 2024 was QR 316.5 million, down 8% year-over-year.

• Finance costs decreased to QR 15 million from QR 27 million year-over-year.

• Share of results from associates increased to QR 297 million, up from QR 248 million.

• Net cash from operating activities was QR 239.3 million, down from QR 372.9 million year-over-year.

• Cash and cash equivalents at period end were QR 234.4 million, up from QR 217.8 million year-over-year.

Outlook and guidance

• Container shipping rates are expected to remain under pressure due to new vessel capacity and global demand.

• Offshore segment anticipates steady growth, supported by Qatar oil and gas expansion and long-term contracts.

• Gas & Petrochem expects stable earnings from long-term LNG and FSO contracts, with volatile LPG charter rates.

• Trading and Capital segments will focus on margin improvement, profitable growth, and yield enhancement.

• Freight logistics environment remains challenging, with a focus on sales and efficiency improvements.