Kuwait's Agility sees rise in Q2 profit despite 'tough environment'
Kuwait-based logistics giant Agility has reported second-quarter net profit of KD21.6 million, an increase of 8.1 percent over the same period in 2018.
Half-year net profit of KD41.9 million was up 7.7 percent while revenue was KD775 million, an increase of 2.5 percent over the year-earlier period.
Tarek Sultan, Agility vice chairman and CEO, said: “We had a good Q2 despite the tough environment we operate in. Agility Global Integrated Logistics (GIL) reported very good results and continues to implement its strategy to drive operational efficiency. Agility’s Infrastructure companies performed well, and key initiatives in each business unit are moving ahead according to plan.”
The global air freight market continued to be under pressure and GIL Air Freight net revenue decreased 1.8 percent as the result of lower job volume and tonnage, although the decrease was offset in part by higher yields. Q2 tonnage fell 8 percent compared to Q2 2018.
Strong ocean freight performance was driven primarily by yield improvement, despite a 2 percent drop in volumes while contract logistics growth continued in Q2 with gross revenue of KD32.8 million, a 1 percent increase from the same period in 2018.
Agility’s Infrastructure group revenue grew 21.2 percent to KD118.2 million while Agility Logistics Parks reported 15 percent revenue growth for the quarter.
Agility said it enjoys a healthy balance sheet with KD2 billion in assets.