APIC Achieves Net Profits of USD 9.02 Million in The First Half of 2020
Chairman and CEO of Arab Palestinian Investment Company (APIC) Tarek Aggad announced that the group achieved net profits after tax of USD 9.02 million in the first half of 2020, with net profits attributed to APIC shareholders reaching USD 7.4 million. Revenues amounted to USD 423.03 million in the first half of 2020, a growth of 8.10% year on year.
Aggad noted that despite the relative decline in profits by 11.51% when compared to the same period in 2019, the results are good considering the decline came as a direct result of the emergency lockdown and the sluggish economic activity due to the coronavirus pandemic in Palestine and in countries where APIC subsidiaries operate. Aggad added that APIC’s management responded promptly and decisively to the challenges of the coronavirus crisis from its onset, forming a planning and oversight committee to manage business continuity for all the group’s companies during the emergency phase, which included maintaining the safety of all employees and customers, the stability and efficiency of operations, in addition to maintaining customer service and the collection of receivables from customers. Consequently, all these measures insured that the pandemic had minimal effect on the consolidated results of the group in the first half of 2020. As for liquidity, Aggad confirmed that the group enjoys convenient liquidity levels and strong solvency margins that enable it to respond to market conditions and economic developments. He indicated that the group has updated its future outlook related to expectations and action plans in order to manage and monitor the effects associated with the pandemic, allowing them to confront it with flexibility and limit any negative impact on business results.
Supporting national efforts with USD 1.7 million to date to fight the coronavirus pandemic
Aggad said that APIC has supported national efforts in Palestine and Jordan to fight the coronavirus pandemic with USD 1.7 million to date by providing cutting-edge laboratory equipment to the Ministry of Health to help them examine and diagnose those with coronavirus, donating ventilators and intensive care units with all necessary equipment, suppling protective suits and masks for medical staff, donating six fully equipped Hyundai- H1 ambulances to the Palestinian Ministry of Health, in addition to donating thousands of food packages to support families living under exceptional circumstances. Aggad stressed that APIC’s support is part of its national and humanitarian duty towards society and the people in both countries.
Increasing APIC’s paid-in capital to USD 95 million
Aggad added that APIC increased its paid-in capital to reach USD 95 million by distributing six million in bonus shares to its shareholders, representing 6.74% at par. APIC also distributed USD 6 million as cash dividends, representing 6.74% at par. Accordingly, total dividend payout amounted to USD 12 million, representing 13.48%.
The issuance of new corporate bonds through two parallel issuances in both US dollars and euros with a gross value of USD 73.841 million
Aggad added that APIC issued new corporate bonds in June 2020 through two parallel issuances in both US dollars and euros with a gross value of USD 73.841 million, an important step towards assisting the company in achieving its future plans and will also effectively enhance its capital structure.
