Jassim Transport & Stevedoring Company (JTC), a leading provider of ports and contracts logistics in Kuwait, has reported a revenue of KWD10.7 million ($35.4 million) and a net profit of KWD1.2 million for the first half of the year.

Adel Kohari, Chief Executive Officer of JTC commented: “The Company is going through a strategic move following the successful private placement and the plan to list its shares on Boursa Kuwait, which will reinforce our leadership position in the markets in which we operate.”

“We are very pleased with the operational and financial results that we have achieved so far this year. In addition to healthy top line and bottom-line performance, we have won new contracts, commenced new projects, and implemented new businesses. We are pleased with the performance of our diversified portfolio of services with operations extending throughout the region,” he added.

“The results, which have seen growth quarter on quarter, are in line with our expectations despite the market challenges we are still experiencing and the repercussions from the disruptions in economic activity. Our operations in Saudi Arabia and Qatar have shown significant growth, taking advantage of improving market conditions in these two geographies.

“We are well on our path to recovery in all our core business segments as travel restrictions are eased by the government and the economy shifts towards normalcy. Although we have many milestones to meet and market challenges to overcome until the end of the year, we are confident about achieving our overall growth objectives in the medium- to long- term.”

JTC has consistently distributed dividends year-over-year, totalling over KWD 28.7 million in payouts during the last five years (191fils per share), while maintaining a healthy balance sheet. Excluding the COVID-induced challenges in 2020, the Company has shown impressive top-line and bottom-line growth, growing by 7.7% and 14.6%, respectively, during the period from 2014-’19. Furthermore, and despite the pandemic, the Company was resilient and reported net profit of KWD 4.1 million during 2020 and distributed a cash dividend of 20 fils per share.  

Despite the economic implications of the Covid-19 pandemic, JTC has reported growth in revenue and net profit for two consecutive quarters this year. Revenue for Q1 2021 was KWD 5.2 million, 2% higher than Q4 2020, and KWD 5.5millionin Q2 2021, 6% increase from Q1 2021. Similarly, net profits grew during the last two quarters to reach KWD0.60million in Q1 and KWD0.63millionin Q2 (up 5% from Q1).

JTC enjoys a strong balance sheet with total assets of KWD52.7millionas of 30 June 2021, shareholders’ equity of KWD41.6million and a debt-to-equity ratio of 0.1x.

Since the beginning of the year, the Company initiated the execution of a new 3-year logistics contract with Kuwait’s Ministry of Electricity & Water, in addition to signing new long-term strategic contracts with several oilfield services companies for power rental services in KOC oilfields. These contracts are expected to drive revenue growth over the next 7 years.

Furthermore, the company commenced aggregate cargo handling services at Shuaiba Port in July 2021. The company has also awarded a contract for the construction of a new temperature-controlled warehouse at Mina Abdullah, which is expected to become operational in 2022, with plans to develop more similar warehouses in the coming years. – TradeArabia News Service