QAMCO records highest quarterly net profit of QR233 million during 3Q2021, buoyed by strong aluminium pricing

Qatar Aluminium Manufacturing Company (QAMCO) has announced the highest ever quarterly net profit of QR233 million during Q3 2021, ended September 30, as it has reaped the benefit of strong aluminium pricing amid renewed demand and restrained supply. That brought the total net profit to QR521 million for the nine-month period, an increase of 4,242 per cent from QR12 million during the same period last year.

QAMCO’s share of revenue from JV amounted to QR2,127 million from January to September, compared to QR1,607 million a year ago, while its share of EBITDA stood at QR918 million, up by 104 per cent from QR450 million. QAMCO’s EBITDA margin was 43 per cent, while its closing cash balance was QR1.121 billion.

QAMCO’s improved financial results were largely due to the growth in global aluminium prices by 37 per cent during the nine months of the year, which contributed QR597 million positively towards the bottom-line profitability of QAMCO.

The company’s aluminium production increased slightly by 1 per cent during the nine months of 2021, but sales declined 3 per cent. QAMCO’s JV remained successful in selling 100 per cent of value-added products (VAP), while no sales of standard ingots were made during the current period.

JV’s cost of goods sold for the nine month period was higher compared to the same period last year, mainly on the account of higher raw material costs, partially offset by favourable inventory movements and cost optimization initiatives. Overall, the increase in the cost of goods sold contributed QR29 million negatively to QAMCO’s net profit during the said time versus a year earlier.