Announcing its financial results for the first half of 2024
Estithmar Holding reports a 15% growth in Net Profit reaching
QAR 236 million for the First Half of 2024
Doha – August 6, 2024
Estithmar Holding Q.P.S.C. announced its financial results for the six-month period ending June 30, 2024, which recorded a 15% growth in the company’s net profit over the same period in 2023 to reach QAR 236 million compared to QAR 205 million for the first half of last year, as well as an 11% increase in revenues to reach QAR 1.6 billion. The company's gross profits amounted to QAR 444 million, compared to QAR 396 million for the same period last year, with an increase of 12%. The company also achieved an EBIDTA of QAR 371 million, with an increase of 1%. Earnings per share increased by 11% to reach QAR 0.065.
Eng. Mohammed bin Badr Al-Sada, Group CEO, expressed his satisfaction with the company's performance during the first half of the year, driven by the company's horizontal and vertical expansion in various sectors and in 6 countries. He said: "The results of the first half of 2024 recorded a 15% increase in net profits, which confirms the success of the company's operational efficiencies and its vision for business development. The diversity and balance of our investments between various sectors such as healthcare, services, touristic projects and specialized contracting played a major role in achieving these profits." Al-Sada pointed out that the company has signed a bundle of contracts during the past half of the year through its various companies and sectors and is following up on the progress of its projects that are under implementation. He added: “We are working to complete our projects in Iraq, including Rixos Baghdad, and in Algeria, such as the Algerian Qatari German Hospital and Rosewood Resort in the Maldives, at an accelerated pace to start operation as soon as possible and contribute to increasing the investment value for shareholders. We are also working to develop business inside Qatar by diversifying the services and solutions we provide and adhering to the highest quality standards in providing services and implementing projects of various types.”
The first half of 2024 witnessed remarkable activity in the expansion of Estithmar Holding projects inside and outside Qatar. Business growth inside Qatar was driven by the success of the winter tourism season, with the Asian Cup fans gathering to Doha to attend the tournament, in addition to the notable turnout on Al Maha Island during the month of Ramadan to enjoy its upscale restaurants. The company’s healthcare sector was also able to continuously grow its business, with The View Hospital leading the healthcare scene in Qatar and the region and the opening of the Korean hospital. Regionally and internationally, the company has grown its business in the Middle East, North Africa and Asia.
Estithmar Holding Performance during the first half of 2024:
By Cluster
The increase in Estithmar Holding’s net profits during the first half of 2024 was driven by an ever-developing performance in the company’s four clusters.
Healthcare
The continuous growth in healthcare sector significantly contributed to Estithmar Holding’s profits, through the increasing success of The View Hospital in affiliation with Cedars Sinai, its continued provision of exceptional services in the field of healthcare, hosting the most important and prominent international visiting physicians, and its endeavor to provide medical services that rival the most famous medical centers and hospitals in the world.
The second quarter also witnessed the opening of the Korean Hospital KMC in Lusail Boulevard, which is the latest medical facility in Qatar in partnership with the most prominent Korean hospitals and medical centers, which provides a package of unique and pioneering medical services to Qatar and the region.
In addition to the expected growth in the sector’s revenues by operating Al-Nasiriyah Teaching Hospital and Al-Imam Al-Mujtaba Hospital in Iraq, per contracts which were signed at the beginning of the second quarter.
The progress of the construction of the Algerian Qatari German Hospital in the Algerian capital, herald its entry into operation and its impact on the future revenues.
Services
The services sector led the company's profit growth during the first half of the year. This sector provides services including facilities management, catering, providing manpower and human resources, supporting large scale events, and others. The sector witnessed growth in business inside and outside Qatar, a growth that is expected to increase.
Ventures
The real estate touristic ventures cluster has also contributed to the company's net profits, and was achieved by the remarkable prosperity of tourism in Qatar, which has become one of the preferred destinations in the region, accompanied by the success that Al Maha Island continues to achieve, which is a major destination for visitors to Qatar, with what it offers in terms of a unique experience of upscale international restaurants, entertainment, and shopping, and which is preparing to provide a special season during the fall\winter of this year, full of events and surprises for the people of Qatar and its visitors.
This has also had a positive impact on the performance of hotels owned by the company such as Katara Hills Resort by LXR and Maysan Resort by LXR, which continue to lead the luxury hospitality sector in Qatar and the region.
This comes amid expectations of continued growth, especially with the expected future returns from the Rixos Baghdad project a landmark that is the first of its kind in Baghdad.
The Rosewood Maldives Resort project is also rapidly developing in terms of the rate of completion of the project expected to lead the tourism scene in the Maldives and the world.
Contracting and Industries
The contracting and industries sector has also considerably contributed to the growth of profits, through the remarkable activity of our company in the Kingdom of Saudi Arabia and its participation in promising mega projects such as NEOM, the Red Sea, Amala and others, in light of the vast progression of the construction and building sector in the Kingdom, which Estithmar Holding has become a part of.
