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Published Date : 25 May 2021
QPIC announces a net profit of KD 14.50 million (US$ 47.89 million) for the financial year ended 31 March 2021

QPIC announces a net profit of KD 14.50 million (US$ 47.89 million) for the financial year ended 31 March 2021

  • BoD recommends distribution of cash dividends amounting to 16 fils per share
  • Total sale revenues increased to KD 231.40 million (US$ 764.20 million)
  • Satisfactory operational levels by all QPIC subsidiaries.

 

Kuwait City, 25 May 2021: Qurain Petrochemical Industries Company K.S.C.P. (QPIC) announced its financial results for the year ended 31 March 2021 with a net income of KD 14.50 million (US$ 47.89 million), compared to KD 28.23 million (US$ 93.23 million) for last year. Earnings per share (EPS) for the year is 14.19 fils (US$ 46.86 cents) versus 27.45 fils (US$ 90.65 cents) last year.

Total consolidated sale revenues marginally increased to reach KD 231.40 million (US$ 764.20 million) from KD 229.11 million (US$ 756.64 million) reported for the previous year owing to the improved performance from subsidiaries.

Total consolidated assets stood at KD 759.39 million (US$ 2.51 billion) as at 31 March 2021, compared to KD 779.42 million (US$ 2.57 billion) at 31 March 2020, showing a slight decrease mainly due to the dividend payout.

QPIC’s Board of Directors (BoD) recommended the distribution of a cash dividend of 16 per cent (16 fils per share), subject to approval by the Company's General Assembly and the regulatory authorities.

Commenting on the results, QPIC’s Chairman, Sheikh Mubarak Abdullah Al-Mubarak Al-Sabah, said:

“The year 2020 was exceptionally challenging on many fronts. We began the year with deteriorating petrochemical prices, followed by the spread of the ongoing COVID-19 pandemic and its accompanying precautionary measures that disrupted most international and local business cycles and resulted in lower profits due to QPIC’s high business concentration in the petrochemical sector. Nonetheless, we are confident that QPIC’s balanced and diversified portfolio is capable of withstanding different market challenges on our future results, as we continuously review new investment opportunities that will enhance the balance of our portfolio and maximize the interests of our shareholders.”

QPIC’s Vice Chairman and Chief Executive Officer, Mr. Sadoun Ali, said:

“Despite the lower announced figures as a result of the sharp drop in the petrochemical markets, which were further impacted by the spread of the onset pandemic, the achieved results were in line with our expectations, supported by the diversification strategy we adopted in 2012 to reduce our exposure to petrochemicals from 100% at the time to below 50% today. This has played a key role in lessening the impact of deteriorating petrochemical prices. We look forward to maintaining our healthy performance levels in the coming financial year with the support of our balanced portfolio, which will mainly rely on two factors; the continued improvement of oil and petrochemical markets that we are currently witnessing, and the pace of recovery in international and regional markets with the rollout of the vaccine.

-END-

 

Notes to Editors:

Qurain Petrochemical Industries Co. (QPIC) was established in 2004 with a total capital of KD 110 million distributed over 1.1 billion shares. The company was founded with a clear direction from the government of Kuwait represented by the Petrochemical Industries Co. (PIC) in order to engage the private sector to participate within the Oil and Gas sectors and create local industries that add value to our national economy, and it was listed in 2007.

QPIC’s well-diversified portfolio of companies is distributed over three main segments: Petrochemicals, Industrial services & Manufacturing. QPIC’s petrochemical presence combines stakes in some of Kuwait’s largest petrochemical complexes such as Equate Petrochemicals Group, represented by Equate Petrochemicals Co. (EQUATE), The Kuwait Olefins Co. (TKOC) and MEGlobal, in addition to QPIC associate Kuwait Aromatics Company (KARO).

QPIC’s industrial services sector comprises of Oilfield services through its two subsidiaries, National Petroleum Services Co. (NAPESCO), and United Oil Projects (UOP) as well as Logistics, equipment leasing and port management through its subsidiary, Jassim Transport & Stevedoring Co. (JTC). QPIC’s manufacturing sector comprise of Food and Basic Materials manufacturing through its two subsidiaries; Saudia Dairy & Foodstuff Co. (SADAFCO), the leading brand in long-life milk segment in Saudi Arabia, and Insha’a holding in the basic materials manufacturing.

QPIC is part of Kuwait Projects Co. (Holding) group of companies. KIPCO Group is one of the biggest holding companies in the Middle East and North Africa, with consolidated assets of US$ 33.4 billion as of 31 December 2020. The group has significant ownership interests in over 60 companies operating across 24 countries. The group’s main business sectors are financial services, media, real estate and manufacturing. Through its core companies, subsidiaries and affiliates, KIPCO also has interests in the education and medical sectors. QPIC financial year starts on April 1st, and ends in March 31st of every year.

For further information, please visit: www.qpic-kw.com or contact:

Abdul-Hameed Malhas     

Investment & Communications Manager

Tel:             +965-2294-3232             -      Ext. 2012

Nabil F. Fayed

Administrative Affairs Manager

Tel:             +965 2294-3232                           -     Ext. 2041