Bahrain Duty Free sales surge in first half; profits fall marginally
Published: 11/08/14
Source: ©The Moodie Report
By Dermot Davitt
BAHRAIN. Bahrain Duty Free Shop Complex today reported a +10.6% year-on-year sales surge in the first half of 2014, to US$36.5 million.
Profits in the half dipped by -1.7% to US$9.3 million. Passenger numbers hit 3.1 million in the period, ahead of last year by +6.7%.
Earnings per share were 8.7 cents (-1%) down on the prior year and total equity on the company’s balance sheet stood at US$109.9 million for the half-year.
In Q2 2014 (ended 30 June), Bahrain Duty Free achieved a net profit of US$4.4 million, which was down by -12.7% compared to last year. The reduction was due to a reduced income from an investment which in 2013 paid out an exceptionally large dividend, the company said. Profit before the dividend income was US$2.9 million, an increase of +9.1% versus the same quarter last year.
Passenger volume of 1.6 million was up +14.1%. This contributed significantly to a +12.1% leap in sales to US$19.5 million compared to last year. Operating costs were also up by +4.3% due to increased marketing activities and additional depreciation charges incurred.
Chairman Farouk Almoayyed stated that from an operational perspective, this has been “a great quarter and first half year where sales have delivered a solid performance exceeding expectations”.
Managing Director Abdulla Buhindi said that the company is well positioned to complete its capital programme at the airport, with the next phase due for completion at the end of September.