Bahrain Duty Free net profit up 32.7% to $22.7m

Muharraq: Bahrain Duty Free Shop Complex in a statement said that it had posted a net profit of $22.7million compared to previous year’s earnings of $17.1million representing an increase of 32.7%. Basic earnings per share saw an increase of 35.6 % amounting to 21 US Cents (16 US Cents a year earlier).

The financials were endorsed by the board of directors on Tuesday and were told that the Company saw the financial results for the fourth quarter of 2014 improve with net profit of $7.8million, compared to a profit of $3.92 million last year, an increase of 110.3 %.

The board of directors recommend to the annual general meeting of shareholders a cash dividend to shareholders of 13 US Cents per share as a final cash dividend of which 5 US Cents per share interim dividend was paid during the year. The board has also recommended a Bonus share issue of 10%.

The financial results for 2014 show a 7.5% increase in Shareholder’s equity to US$ 118.7m compared to last year which amounted to US$ 110.4m.

Farouk Almoayyed, Chairman of the Board stated that the Board had approved the 2014 audited financial statements which recorded the highest profits in the company’s history. He explained that the company’s strategy in the variety and quality of goods and focus on marketing campaigns and customer service was influential in increasing sales, which in 2014 increased by 7.8% to US$ 74.5m compared to US$69.1m in 2013.

Sales in the fourth quarter were US$19.6m compared with US$ 18.7m in the previous year, an increase of 5.8%. Profit from Investments were US$ 9,936,100 compared to the investment earnings for the same period last year which amounted to $5.6million which is a record growth of 75.8% while the investment portfolio increased by 15.5 % to $76.6milion.

Almoayyed thanked the executive management team and the company’s employees on the effective and continuous efforts that led to the achievement of these outstanding results.

The Managing Director, Abdulla Buhindi explained that 2014 was full of accomplishments, where Bahrain International Airport witnessed a rise of 10.4% in the number of passengers.

He added that Bahrain Duty free had completed many shop refurbishments during 2014, including the Arrivals shop in addition to opening a new fashion shop, featuring many new International Brands. Buhindi stressed that the ongoing initiatives taken by the company to renew its stores have had a positive impact in enriching the shopping experience for travelers passing through Bahrain International Airport.

At the same time Buhindi praised the global accomplishment of Bahrain Duty Free and Bahrain International Airport.