On 2nd March 2022, the Doha headquartered Qatar Aluminium Manufacturing Company (Qamco) said that it is abided to focus on its five-year strategic plan to compel its joint venture (JV) to brace the market position. However, its funding strategy will not only vitalize shareholder value creation but also enable sustainable pay-outs despite negative externalities.
Additionally, the worldwide marketing partnership of Qamco with other JV associates dispensed access to strategically potential markets, which drives it to become more competitive in comparison to other international peers, notwithstanding supply chain confrontation that remained apparent continuously.
The board of directors of the Qatari aluminium company emphasized during the general assembly meeting held virtually, where the stakeholders endorsed the 2021 financial results and approved a dividend of QR446 million, equivalent to QR0.08 per share, depicting a pay-out ratio of 53%.
Abdulrahman Ahmad al-Shaibi, the Chairman of Qamco said, "Going forward, Qamco’s JV will remain focused on its five-year strategic plan and is poised to strengthen its market position, while relentlessly working to enhance shareholder value, with a strategic intent to remain a cost-competitive aluminium producer, while operational excellence coupled with higher safety and environmental standards remains a key to success.”
QAMCO holds 50% of the issued share capital of Qatar Aluminium (Qatalum), while the other 50% of the issued share capital of Qatar Aluminium (Qatalum) is held by Hydro Aluminium Qatalum Holding B.V.
The Chairman also spotlighted that 2021 was a successive macroeconomic revival, navigating to a strong primary aluminium demand incorporated with supply constraints, stemming in a strong price route for primary aluminium.
However, keeping the macroeconomic sentiments alive, Qamco’s JV pursued to eye on operational excellence, safety, growth and sustainability.
He said, “Adding operational excellence was mainly driven by continuous optimisation of its processes, improved reliability and enhanced asset integrity.”
“Qamco prevailed to restrict the environmental impacts of its businesses on the sustainability front while enhancing energy efficiency and conservation measures.”
Ahmad al-Shaibi added, "Our funding strategy at the JV level would continue to support us in our continued progress in building shareholder value and would enable sustainable payouts while safeguarding us in case of any future unprecedented external calamities.”
Mohamed Jaber al-Sulaiti, the Board Member of Qamco and the Manager of Privatised Companies Affairs Department at Qatar Energy said, “The JV is capable of fast transitioning its product mix in line with market conditions, which provides an additional layer of flexibility to it in terms of the production process and supply chain management while ensuring products are produced and sold in line the market demand.”
"These competitive strengths have remained pivotal in enabling Qamco’s JV to improve its operating asset base along with a strong cash position.”
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