Qatar Navigation (Milaha), a leading maritime and logistics conglomerate, said its net profit for the full year 2017 plunged to QR470 million ($128 million) from QR711 million ($195 million ) the year before.

Announcing the financial results for the 12 months ended December 31, 2017, Milaha said the operating revenues decreased by two per cent to QR2.5 billion, down from QR2.551 billion for the same period in 2016.

Operating profit too plunged by 19 per cent to QR448 million for the twelve months ended December 31, 2017, down from QR555 million for the same period in 2016. Earnings per share decreased to QR4.14 for the twelve months ended December 31, 2017, down from QR6.26 for the same period in 2016.

The board of directors has decided to recommend to the General Assembly, for distribution of a 35 per cent cash dividend, equivalent to QR3.5 per share.

Milaha Maritime & Logistics’ net profit declined by QR23 million in 2017 compared to 2016, mainly due to QR33 million in vessel impairments in our Container Shipping unit.

Excluding impairments, the segment outperformed 2016 by 7 per cent, largely due to a strong increase in container volumes in our Port Services unit, said the company in a statement.

Milaha Gas & Petrochem’s net profit declined by QR269 million in comparison to 2016. The shipping sectors in which we operate continued to face significant challenges in 2017, which impacted both commercial performance as well as vessel valuations.

Its offshore unit’s bottom line declined by QR71 million in 2017 compared to 2016 driven by the significant drop in oil prices which negatively impacted the exploration and production value chain, including offshore vessels and related services.-TradeArabia News Service     

Sheikh Ali bin Jassim Al Thani, the chairman of Milaha’s board of directors, said: "Despite the unexpected events and ongoing industry-wide challenges during the year, Milaha remained profitable in 2017 driven by a stronger operating performance in the third quarter onwards, which we believe, sets the stage for a successful 2018."

"Going forward, we will continue to focus on driving growth and executing on our strategic priorities," he added.

Al Thani said Milaha had finished 2017 with strong momentum to carry the group into 2018 and beyond.

"This reflects the success of the new shipping routes and supply chain solutions we launched throughout the year. Additionally, we continued to improve the cost structure of our businesses, expand our value proposition, and we remain on track to deliver sustained short and long-term growth," he added.-TradeArabia News Service