Agility, a long-term investor and operator in supply chain services, infrastructure, and innovation, has reported a net profit of KD68 million ($221 million) for FY 2022, up 181% over the same period in 2021, excluding results from its Global Integrated Logistics (GIL) unit, which was sold in 2021.
Announcing the results for the 12-month period ended December 31, 2022, Agility said its revenue surged to hit KD863.4 million ($2.8 billion), thus registering a 77.6% growth, while its ebitda increased 65.7% to KD180.5 million.
The results include: five months of performance from Menzies Aviation, acquired by Agility in 2022; four months of performance by HG Storage International, acquired by Agility’s Tristar Business in 2022.
On a like-for-like basis -- excluding Menzies and HG Storage performance, and GIL results -- Agility earnings rose 153.5% from 2021. Agility’s ebitda increased 44.1% to KD157 million, and revenue grew 21.2%.
The supply chain services major enjoys a healthy balance sheet with KD3.3 billion in assets. Net debt stood at KD801.7 million as of December 31, 2022 (this excludes lease obligations).
Agility has announced that it has increased its credit facilities to finance its business growth plan, which includes the 2022 acquisition of John Menzies. Reported operating cash flow was KD100 million for the full year of 2022.
On its Q4 2022 results, Agility said its earnings stood at KD26.6 million, up 4,218% over the previous year. The ebitda surged 196.7% to KD63.8 million, while the revenue stood at KD336.5 million, thus posting a 137.8% increase over the year before.
Vice Chairman Tarek Sultan said: "Agility had a strong 2022, marked by two major acquisitions that are reshaping the company and creating new opportunities. But like all businesses, we face global economic uncertainty in 2023, as well as uncertainty regarding government land lease policy in Kuwait."
"It’s important to emphasize that we take a long-term view in value creation. When it comes to our controlled businesses, Agility’s acquisition of Menzies and Tristar’s acquisition of HG Storage helped us accelerate growth, expand our geographic reach, and increase our exposure to sectors that have strong future growth potential," he stated.
"On the investments side, stock market volatility affected our holdings, but we look beyond daily share price movements to the strategic value, growth and returns we believe our investments will deliver for our shareholder over the long-term,:" he added.
Sultan said: "Today, Agility is diversified geographically, operationally, and financially, which helps us reduce the dependency on one country, sector or asset. Our controlled businesses employ a workforce of 45,000 people, who operate on six continents."
"Ultimately, we’re a different business today than we were even two years ago – and we continue to evolve, grow, and drive value for our shareholders, customers, employees, and communities we operate in," he stated.
Agility pointed out that for full year 2022, its controlled businesses (the ones which the company controls and operates) collectively reported an ebitda of around KD195.1 million and revenue of KD863.4 million, thus posting an increase of 57% and 77.6% respectively, over 2021.
The performance of this segment will be reported under three groups, Aviation Services, Fuel Logistics, and Other Controlled Businesses, which include Agility Logistics Parks, UPAC, GCS and others, it stated.
Owing to the uncertainty related to public sector policy with respect to land use and the role of private sector in the economy, the board of directors have not recommended any dividend distributions for 2022. This is subject to the approval of the AGM, it added.-TradeArabia News Service