The Kuwait City-based global third-party logistics provider posted a net profit of 68.5 million Kuwaiti dinars (U.S. $227.8 million) on KD 1.41 billion in revenues last year, increases of 16 percent and 14 percent, respectively.
Agility’s net profits for the full year in 2017 jumped 16 percent to 68.5 million Kuwaiti dinars (U.S. $227.8 million) compared with the previous year, according to the company’s most recent financial statements.
The Kuwait City-based global third-party logistics provider posted earnings per share (EPS) of 54.4 fils, up from 46.7 fils per share, on revenues that rose 14 percent to KD 1.41 billion.
Results were boosted by a strong fourth quarter in which Agility reported a net profit of KD 19.3 million (15.3 fils per share) on KD 386 million in revenues, year-over-year increases of 22.5 percent and 22.6 percent, respectively.
By segment, revenues from Agility Global Integrated Logistics (GIL) grew 14.3 percent to KD 1.06 billion for the full year and 21.5 percent to KD 293 million in the fourth quarter. Revenues from the segment’s air and ocean divisions increased 25 percent in 2017 as volumes grew 9.7 percent in air tonnage and 12 percent in ocean.
The company attributed the increase in GIL revenues primarily to growth in its freight forwarding and contract logistics businesses, which were offset in part by a decline in net revenue margins from 26.4 percent in 2016 to 23.7 percent last year.
Agility’s infrastructure and real estate group saw revenues climb 12.7 percent to KD 358.2 million in 2017 – 25 percent in Q4 alone – as margins expanded from 29.7 percent in 2016 to 33.7 percent in 2017.
“In 2017, Agility posted another year of healthy growth and continued to plant the seeds for a future of sustainable growth,” Agility CEO and Vice Chairman Tarek Sultan said of the results. “To reach our target of $800 million EBITDA by 2020, we remained focused on improving GIL’s performance and investing in our Infrastructure companies. For every business in the group, 2017 was a critical year.
“GIL is growing through a strategy that focuses on defined solutions and customer segments, enhanced sales productivity and efficient trade lane development,” he added. “In addition, GIL is building systems and solutions that enable business insight, efficiencies, and increased productivity for our operations and for our customers. As always, we are working hard to maintain cost discipline.”
Agility’s earnings rise on higher revenues in 2017
