JTC net profit surges 25% to KD 7.8mn in 2017View Active News
Article Courtesy - Arab Times, Kuwait on p.g #26 - Published on 10th May, 2018
 
Company announces its intent for IPO.
 
Jassim Transport & Stevedoring Co K.S.C.C. (JTC), a leading provider of equipment and logistics services in the GCC, today announced its earnings for 2017 and its intent for an initial public offering and listing on Boursa Kuwait. In an AGM held last week, JTC shareholders approved the distribution of KD 6.6 million as cash dividends for 2017, as well as a resolution to start the IPO process for the company. JTC registered a net profit of KD 7.8 million in 2017, up 25% from the previous year. The company had registered a net profit of KD 6.3 million in 2016, and KD 5.2 million in 2015.
 
FY2017 Investor Highlights:
■ Revenue: KD 24.1 million, up 14%
 
■ Net Profit: KD 7.8 million, up 25%
 
■ Cash Dividend: KD 6.6 million, bringing the total cash dividend payout for the last four years to KD 25.7 million
 
■ Total shareholder equity: KD 43.0 million
 
JTC CEO Adel Kohari said, “All business lines performed well in 2017, driven by favorable market conditions and consistent demand especially in Kuwait. Our bottom line growth was driven by a 14% rise in revenue, as well as continued improvement in operational efficiency, which saw the net margin increase to 32.5% from 29.6% a year ago. Our outlook for 2018 is positive. We forecast healthy growth in both top line and the bottom line earnings”.
 
 
 
Established in 1979 as an inland transportation company in Kuwait, JTC has over the years grown into a reputed regional organization with a unique portfolio of four successful businesses – Ports Management, Contract Logistics, Equipment Leasing and Power Rental. Today, JTC is a significant participant in various mega and landmark projects in Kuwait and the Gulf. Current projects include the Clean Fuel Project, Al Zour Refinery project and the Doha Metro project.
 
JTC Chairman Sulaiman M. Al Shaheen Al Rubaie said, “the company is well-placed to remain on a high growth trajectory in the coming years, based on a well-established market position, positive economic outlook, strong management team, and healthy balance sheet. We have seen significant growth in the past few years, with revenue and net profit growing at CAGRs of around 13% and 31%, respectively, during the period from 2014 to 2017”.
 
JTC has considerably expanded its capabilities in all its businesses in recent years. Since 2014, JTC has doubled its tonnage capacity by adding around 80 new cranes to its equipment leasing fleet.
 
JTC’s current fl eet consists of around 1,500 units of various types of equipment, which makes it a strong market player in all its business segments. Such investments have helped JTC expand its market share in key segments. Notable investments during 2017 include the addition of a new 700 Ton mobile crane, and the purchase of over 100 generators.
 
All the above-mentioned investments were funded from cash flows generated from operations, while also distributing healthy cash dividends to shareholders in the last four years totaling KD 25.7 million in cash payouts, while maintaining a healthy and debt-free balance sheet.
 
JTC enjoys strong and longstanding relationships with government bodies, national oil companies, bluechip corporates and SMEs in its core geographies. JTC today hold several high value contracts with marquee clients, such as a 5-year contract with Kuwait National Petroleum Company (KNPC). 
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