Agility has reported its Q2 2022 results. The company has reported revenues of KD* 138.4m, up 23.4% y-o-y. Net profit from continuing operations increased by 2% y-o-y to KD 16.1m, whilst total net profits decreased by 58.4% y-o-y from KD 38.6m to 16.1m.
Agility’s controlled businesses are those that the company controls and operates. The performance of this segment is consolidated and reported through the parent company’s profit and loss statement. For the second quarter of 2022, this segment reported revenue of KD 138.4m and EBITDA of KD 39.8m, increases of 23.4% and 9.2%, respectively.
Agility Logistics Parks (ALP) revenue in the second quarter of 2022 grew 2% vs. Q2 2021. To meet the increasing demand for warehousing space, Agility stated that ALP is optimizing its existing land bank and looking to acquire additional land for development, especially in the Middle East and Africa regions.
Tristar, a fully integrated liquid logistics company, posted a 23.8% y-o-y increase in revenue in Q2 2022. This growth was driven by strong performance of Maritime sector and Turnkey Fuel business.
National Aviation Services (NAS) reported a 40.1% year-over-year revenue increase in Q2 2022. The increase reflects the broad recovery in commercial aviation as flights, passengers and cargo volumes grew in most of the countries where NAS operates.
On August 4, Agility finalized its acquisition of UK-based John Menzies PLC and will combine Menzies with its NAS business, operating in 58 countries. Menzies’ financial performance will be consolidated with Agility’s group financials starting from the acquisition date. The enterprise value of the acquisition was £763m. Menzies and NAS will be combined into a single entity that will do business under the Menzies name. Performance of the new, combined entity will be reported within Agility’s controlled business segment.
United Projects for Aviation Services Company (UPAC) reported a 35.7% increase in Q2 2022 revenue, primarily due to a rebound in airport-related services and parking following the phased reopening of Kuwait International Airport. Flight and passenger volumes have grown since the relaxation of COVID restrictions by the government of Kuwait. UPAC anticipates a gradual increase in airport traffic in 2022 and beyond.
UPAC is a co-investor in Abu Dhabi’s Reem Mall, on Reem Island. Construction is nearly complete. The retail, entertainment, and leisure attraction is expected to open in 2022. Carrefour, the anchor tenant, recently opened its doors at Reem Mall.
At Global Clearinghouse Systems (GCS), Agility’s customs-modernization company, Q2 2022 revenue grew 10.5% y-o-y. The increase was driven by higher trade volumes and company growth initiatives.
Agility Vice Chairman Tarek Sultan said: “Agility continues to deliver good results amid challenging market and geopolitical conditions. Our owned and operated, or controlled businesses reported year-over-year growth, and we expect continued growth and performance in our operations in 2022. Our goal is to grow these businesses further. The Menzies acquisition, which we concluded earlier this month, is a good example of this growth strategy. When it comes to Agility’s portfolio of investments, our largest investment, DSV, continues to be impacted by market performance. That said, Agility is a strategic and long-term investor, with deep supply chain expertise in our own right. We believe in the long-term potential of freight forwarding and transportation, as well as the other sectors we have invested in.”
*KD 1 = $3.2547/ €3.2022