Bahrain Duty Free 2016 revenue up 2.6pc

21/02/2017 07:32 AST

Bahrain Duty Free Complex has reported gross revenues of $76.5 million for 2016, up 2.6 per cent compared to $74.5 million the previous year.

Announcing it’s financial results for the year ended December 31, 2016, the Bahrain Duty Free said the operating profit however fell 7.5 per cent to $12.6 million from $13.7 million.

The income from investment activities was $9.4 million recording a decline of 5.8 per cent on the previous year’s figure of $9.9 million, while net profits reduced 6.8 per cent to $22 million from $23.7 million the year before.

Basic earnings per share are 17 US Cent per share compared with 18.3 US cent in 2015, it stated. At December year-end, total shareholder’s equity stood at $134.6 million, thus registering a four per cent over prior year figure of $129.5 million.

In the fourth quarter of 2016, sales were $19,455,589 up 2.5 per cent on prior year while operating profits fell 12.7 per cent to $ 2,559,671.

According to Bahrain Duty Free, the investment income increased by 176.2 per cent to $5,285,602. The increase coming from a one-off dividend received in the quarter.

As a result, net income in Q4 was $7,845,008 up 61.9 per cent on same quarter last year. Commenting on the results, chairman Farouk Al Moayyed, said that 2016 had produced resilient net profits which were testament to the company’s operational and investment strategies.

He pointed out that Bahrain Duty Free had made important strategic progress to ensure continued success for the company. Managing director Abdulla Buhindi said: "Passenger volumes increased by 2.6 per cent compared to last year and along with several marketing initiatives, contributed to increase sales."

According to him, the company’s shop upgrades started as planned in July 2016 and by year-end, work was substantially complete.

"Many new brands and initiatives were introduced in the perfumery & cosmetics area and a new premium watch boutique area opened too, to mention a few highlights of the project," stated Buhindi.

This major investment will position the business on a stronger foundation for sustainable growth and profitability in the years ahead, he added.

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