Bahrain Duty Free Shop nets $12.3m H1 profit

Bahrain Duty Free Shop Complex (DUTYF) has registered a net profit of $12.3 million for the first half of the year mainly driven by the solid growth in sales.

Impressed with the results, the company's board of directors has recommended distribution of 20 per cent dividend of the share capital share capital, equivalent to 5.3 US Cent per share, to the shareholders registered as of August 14.

Announcing the results at a board meeting today (August 7), Chairman Farouk Yousuf Almoayyed said the company had achieved a net profit of $4.98 million during the second quarter, up 33 per cent compared to $3.74 million last year.

The company also achieved an operating profit of $3.91 million in the second quarter compared to $3.48 million in the same period of last year, thus registering a 12.4 per cent growth.

With regards to revenue/sales, the company has posted a 16 per cent growth in the second quarter taking its total sales to $23.4 million during the second quarter, compared to $20.2 million in the second quarter of last year, with an increase of 15.9 per cent, said the statement from DUTYF.

Earnings per share during the second quarter were 3.5 Cent compared to 2.6 Cent in the same quarter last year.

The increase in the net profit relates to an increase in revenues of $3,208,218, generating a gross profit of $1,607,459. In addition, the investment income increased by $808,546 during the quarter.

With regards to the half year financial results, the company achieved a net profit of $12.3 million compared to $9.6 million in the previous year, representing an increase



of 28.3 per cent. The company also posted an operating profit of $7,860,218 for the first six months compared to $6,998,926 last year, thus registering an increase of 12.3 per cent.

Abdulla Buhindi said profit from investments recorded an amount of $4,440,162 compared to $2,589,647 last year, representing a growth of 71.4 per cent.

 

With regards to revenue/sales, the company saw the total figures surge 15.6 per cent to $46,233,151 from last year's $39,999,135, he stated.

"The increase in the net profit for the half year end in comparison to last year relates to good volume growth in sales with an increase of $6,234,016 increasing gross profits by $3,034,170 . Earnings per shares were 8.6 US Cent compared to 6.7 US Cent in the previous year," noted Buhindi.

"We have focused our efforts on increasingly supporting sales processes that have contributed to an increase in the average Transaction value, including upgrading our customer service efficiency," he added.

According to him, the total shareholders’ equity for the year rose 2.3 per cent to $135,547,379 compared to $132,497,419 last year.

Almoayyed said DUTYF had succeeded in achieving outstanding financial results mainly due to the hard work and continuous efforts of the executive management and all the employees of the company.

The total assets for the six-month period surged by 2.6 per cent to $154.4 million from $150.5 million last year, he stated.

"I am confident that the executive management will continue to achieve further growth during the remainder of the year 2018," he added.