Healthy earnings
Industry Qatar has posted healthy earnings for 4Q22 and full-year results whereby its sales for the quarter came at QAR 4169.6mn (against our estimate of QAR 4103mn) registering a 1% QoQ and 12% YoY decline, respectively. The decline in revenue on a QoQ basis could be assigned the decline in prices of the company’s products during the quarter on cautious demand and lower sales volumes while average selling prices remained flat.
Operating profits came in above our estimates
The company’s focus on operational excellence helped it record an increase in gross profit by 28% to QAR 1225mn and operating profits by 29% to QAR 1009.8mn, exceeding our estimates. Overall group operations remained stable during the quarter with production volume increasing by 1% over the previous quarter while plant utilization rate increased to 104% and average reliability stood at 98%.
Net profit increased by 10%, exceeding our estimate
The consolidated net profit of the company for the quarter came at QAR 1768.4mn registering 10% growth over the previous quarter on account of lower operating costs that got partially offset by lowered sales volume. Further, better-than-expectations margins expansion also contributed in net profit growth.