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Tribune News Network
DOHA
Gulf International Services (GIS) net profit jumped 116 percent to QR34 million in the first half of the year ended June 30, 2018.
The company's earnings per share reached QR0.18, compared to QR 0.09 last year, GIS announced in a press release on Sunday.
The group's revenue for the period touched QR1.31 billion, up by 4 percent on the previous year.
Total assets of the company reached QR10.3 billion.
The significant rise in net profit was primarily driven by a growth in revenue and cost reduction in the drilling segment following aggressive cost optimisation initiatives undertaken by the company.
The improvement achieved in the drilling segment was marginally offset by lower profit in the aviation segment due to reduced revenue from Qatar aviation operations.
The effect of revenue decrease in Qatar aviation operations was slightly offset by other operating revenues and reduced general and administrative expenses, the company said.
GIS'revenue in the insurance segment improved significantly versus last year, while the drilling segment reported a moderate growth in revenue. Revenue in the aviation segment reported a slight decrease, while the catering segment's revenue was moderately down on last year.
The improvement in the insurance segment was primarily due to growth in general insurance business, while the drilling segment benefited from improved asset utilisation.
The aviation segment was affected by reduction in Qatar aviation operations, and the catering segment was impacted by demobilisation of some projects and reduced camps occupancy.
The group is in the execution phase of some of the opportunities identified by the growth strategy initiatives that were concluded last year. The initiatives include revenue growth and optimisation, cost rationalisation and efficiency improvements.
The implementation is in different stages of progress with one of group companies having moved into advanced stages and appointed a consultant specialised in transformation and implementation to assist in the implementation of the chosen strategies, the statement added.
GIS is the largest services group in Qatar, with interests in a broad cross-section of industries, ranging from insurance and re-insurance, onshore and offshore drilling, accommodation barge, helicopter transportation, and catering services
