Industries Qatar is a joint stock company, which acts as a holding company with operations in the State of Qatar and the Jebel Ali Free Zone in the United Arab Emirates. Its subsidiaries and joint ventures include Qatar Steel , which manufactures steel billets and reinforcing bars; Qatar Steel Dubai Steel FZE, which is a United Arab Emirates-based steel manufacturer; Qatar Petrochemical Company Limited Q.S.C. , a producer and seller of ethylene, polyethylene, hexane and other related products; Qatofin Company Limited, a producer of linear low-density polyethylene; Qatar Fertilizer Company , a producer and seller of ammonia and urea, and Qatar Fuel Additives , which is engaged in the production and export of methyl tertiary-butyl-ether and methanol. It is Qatar's largest Chemicals company by market capitalisation.
Contact Details
Website
http://www.industriesqatar.com.qa
Physical Address
Doha, Qatar 3212
Phone
(+974) 4308681/ 4308673/ 4308684
Fax
(+974) 4308628
Email
iq@qp.com.qa
Industry & Sector [of 2 stocks]
Classification Level
Name of Sector
Business Sector
Chemicals
Industry Group
Chemicals
Economic Sector
Basic Materials
Financials FY 2023
Financials, FY 2023 [year-ended 31 December 2023 ]
Industries Qatar profits hit by 46% fall
Release Date: February 09, 2024
Industries Qatar (QE:IQCD) reported net profit for the year-ended 31 December 2023 [FY2023] of QAR4.7b ($1.3b), down 46% from QAR8.8b ($2.4b) in the previous year [FY2022]. Earnings per share (EPS) were down -47% from QAR1.46 (US40.11c) in FY2022 to 78.0Dirham (US21.43c) in FY2023.
Annual growth in Revenue, Net Profit and EPS
Year-ended
31 December [FY/2023]
31 December [FY/2022]
Revenue, QAR Billion
11.7
18.8
Revenue, $ Billion
3.2
5.2
Growth in Revenue %
-37.5
32.6
Net Profit, QAR Billion
4.7
8.8
Net Profit, $ Billion
1.3
2.4
Growth in Net Profit %
-46.5
9.0
EPS
78.0Dirham
QAR1.46
Growth in EPS %
-46.6
9.0
Major changes compared with previous year (FY2023 vs FY2022): Favourable Changes:
- Total non-current assets to Total Assets up from 46.9% to 52.8%
- Fixed Assets to Total Assets up from 26% to 31%
- Total Liabilities to EBITDA of 0.7 compares favourably with the Joseph Piotroski benchmark of <5. However, it has deteriorated by 91.2% from the previous year's ratio of 0.3.
- Total Liabilities to Operating Cash Flow of 0.7 compares favourably with the Joseph Piotroski benchmark of <4. However, it has deteriorated by 69.8% from the previous year's ratio of 0.4. Unfavourable Changes:
- Net profit slumps 46.5% from QAR8.8b ($2.4b) to QAR4.7b ($1.3b)
- Total revenue down 37.5% from QAR18.8b ($5.2b) to QAR11.7b ($3.2b)
- EBIT Margin down from 46.9% to 40.2%
- EBIT to total assets down from 19.6% to 11.0%
- Total revenue to total assets down from 0.4 to 0.3
Year-on-year comparison of Performance Ratios [FY2023 vs FY2022]
Three-year record of growth and performance:
In the last 3 years EBITDA averaged QAR7,210,452,333.3 ($1,980,893,498.2) and Net Profit averaged QAR7,207,923,666.7 ($1,980,198,809.5).
Description
Annual (QAR B)
Annual ($ B)
3-year Avg (QAR)
3-year Avg ($)
3-year CAGR %
Total Revenue
11.7
3.2
-
-
-
EBITDA
4.7
1.3
7,210,452,333.3
1,980,893,498.2
36.8
Operating Profit
4.7
1.3
7,210,452,333.3
1,980,893,498.2
36.8
Net Profit
4.7
1.3
7,207,923,666.7
1,980,198,809.5
37.6
Three-year record of EBITDA, Operating Profit, Net Profit, ROE, ROA and ROCE
In 2023 Net Profit Margin of 40.2% was below its 3-year Avg of 48.1% (All Figures in %)
Description
2023
3-year Avg
EBITDA Margin
40.2
48.1
Operating Profit Margin
40.2
48.1
Net Profit Margin
40.2
48.1
Return on Equity
11.8
17.8
Return on Assets
11
16.6
Return on Capital Employed
11.6
17.4
Dividend
Dividend History
In the past 5 years annual dividends have increased by QAR0.4 from QAR0.4 to QAR0.8. Based on a start date of 5 years ago, there has been two decline in dividends over the last 5 years.
Date
Value (QAR)
Type
07 Mar 2024
0.78
Cash
Tr 12 Months
0.78
2022 - 2023
1.1
2021 - 2022
1
2020 - 2021
0.33
2019 - 2020
0.4
Top Management and Board of Directors
Top Management
Top Management [One top executive with tenure > 10 yrs]
Name
Designation
Since Appointment
Saad Sherida al-Kaabi
Chairman, Managing Director
10 Yrs, 3 Mos
Top Management [One top executive with tenure < 4 yrs]
Name
Designation
Since Appointment
Abdulaziz Mohammed Al-Mannai
Vice Chairman
3 Yrs, 1 Mo
Board Of Directors
Board Of Directors [Four directors with tenure < 4 yrs]
Name
Since Appointment
Abdulrahman Mohammed Al-Suwaidi
3 Yrs, 1 Mo
Ahmed Abdulqader Al-Ahmed
3 Yrs, 1 Mo
Mohammed Yousef Al-Mulla
3 Yrs, 1 Mo
Abdulla Ahmad Al-Hussaini
3 Yrs, 1 Mo
Profiles of Top Management
Saad Sherida al-Kaabi
Chairman & Managing Director
As per the Emiri Decree Number (66) of 2014, Engineer/ Saad Sherida Al-Kaabi was appointed as the Managing Director of Qatar Petroleum responsible for the management of the entire company.
Mr. Al-Kaabi joined Qatar Petroleum in 1986 as a student studying Petroleum & Natural Gas Engineering at Pennsylvania State University (PENN STATE) in the USA. In 1991 he graduated with a Bachelor of Science (BSC) degree in Petroleum & Natural Gas Engineering.
Immediately after graduation, he joined Qatar Petroleum's Reservoir & Field Development Department where he progressed through various petroleum engineering, technical, commercial and supervisory positions. He then became the Manager of Gas Development responsible for North Field management and development where he and his team played a key role in the rapid launch of many mega gas projects based on the most up-to-date technologies, which were implemented in record time making a major contribution towards Qatar's rapid rise to becoming the LNG and GTL capital of the world; as well as, several large Gas pipeline projects domestically and for export.
From 2006 until this appointment, Mr. Al-Kaabi was Director of the Oil & Gas Ventures Directorate where he was overseeing all of Qatar's Oil and Gas fields developments; as well as, all the exploration activities in Qatar.
Shareholder Value: Creation of shareholder value in Industries Qatar:
Since appointment as MD: The present value of QAR1,000 invested on the appointment date of March 01, 2021 at close price of QR9.37 is QR1,595, including a capital gain of QR287 and dividend reinvested of QR308.
Peer Comparison & Ranking of IQCD
GLOBAL PEER COMPARISON: IQCD - SIZE (all figures in $)
In its Global Peer Group of 9 companies IQCD is ranked fourth (4) by Net Profit, fifth (5) by MCap, seventh (7) by Total Assets and eighth (8) by Revenue.
Name (Code)
MCap
Revenue
Net Profit
Total Assets
Rank of IQCD
5
8
4
7
Industries Qatar (IQCD)
20B
3.2B
1.3B
11.8B
DuPont de Nemours (DD)
30.8B
12.1B
423M
38.6B
PPG Industries (PPG)
30.7B
17.7B
1B
20.7B
FUJIFILM Business Innovation (4901)
27.4B
18.5B
1.4B
26.7B
International Flavors & Fragrances (IFF)
21.8B
11.5B
(2.6B)
31B
KAO (4452)
19.3B
9.9B
283.4M
11.4B
Westlake Chemical (WLK)
19.2B
15.8B
2.2B
20.6B
Zhangzhou Pientzehuang Pharmaceutical - A Share (600436)
19.1B
1.2B
341.3M
2B
LG Chem (A051910)
19B
37.6B
1.3B
49.3B
GLOBAL PEER COMPARISON: IQCD - RELATIVE VALUE INDICATORS
In value terms, comparing relative value of its shares, IQCD is ranked
+ 1 out of 9 by Dividend Yield (%) [6.5]
+ 2 out of 9 by Price/Earnings per share [15.4]
+ 8 out of 9 by Price/Sales per share [6.2]
+ 1 out of 9 by Price/Book value per share [1.8]
Name (Code)
Currency Code
Last Price
Div Yld (%)
P/E
P/S
P/Book
Rank of IQCD by value
1
2
8
1
Industries Qatar (IQCD)
QAR
12.1
6.5
15.4
6.2
1.8
DuPont de Nemours (DD)
USD
73.8
2.0
78.5
2.5
14.1
PPG Industries (PPG)
USD
130.4
2.0
30.1
1.7
FUJIFILM Business Innovation (4901)
JPY
3,407
1.5
1.4
2.4
International Flavors & Fragrances (IFF)
USD
85.4
3.3
1.9
KAO (4452)
JPY
6,397
2.3
68.4
2.0
5.1
Westlake Chemical (WLK)
USD
149.4
1.2
8.6
1.2
2.7
Zhangzhou Pientzehuang Pharmaceutical - A Share (600436)
CNY
229.3
0.6
56.2
15.9
12.6
LG Chem (A051910)
KRW
372,000
2.7
0.5
USD 1=
3.64 Qatari Riyal (QAR)
BUYSELLSIGNALS FUNDAMENTALS VALUATION RANKING:
Industries Qatar vs Qatar Market
Out of 43 stocks in the Qatar Market, Industries Qatar is ranked first(1) by ROA, second(2) by Net Profit $, second(2) by Market Cap in $ and fourth(4) by Total Debt/Equity.
Qatar Avg
IQCD
IQCD Rank
ROA (%)
1.9
10.97
1
Net Profit $
293.1 M
1.3 B
2
Market Cap $
2.9 B
20 B
2
Total Debt/Equity (the lower the better)
0.4x
0.01x
4
Revenue $
1.1 B
3.2 B
4
Yield (%)
4.6
6.5
5
EBITDA Margin%
35.97
40.2
6
ROE (%)
6.4
11.8
8
Total Assets $
15.3 B
11.8 B
11
Premium to 52-Wk Low (%)
4.5
18.9
20
P/Sales
2.5x
6.2x
23
Free Cash Flow
(348.7 M)
25
P/Earnings
9.6x
15.5x
26
Price/Net Tangible Assets
0.6x
1.8x
30
Discount to 52-Wk High (%)
13
10.4
31
Negative values are shown in brackets.
Stock in Index and Stock in Sector
Description
IQCD
QE Index
% of QE Index
Chemicals sector
% of Chemicals sector
Net Profit $
1.3 B
11.3 B
11.5
1.3 B
100.0
Revenue $
3.2 B
35 B
9.2
3.2 B
100.0
Total Assets $
11.8 B
602 B
2.0
11.8 B
100.0
MCap $
20 B
100.2 B
20.0
20 B
100.0
Relative Valuation Indicators: Stock vs Index and Stock vs Sector
Description
IQCD
QE Index Avg.
Chemicals sector Avg.
Price/Earnings
15.5
8.7
15.5
Yield (%)
6.47
5.06
6.47
Price/Net Tangible Assets
1.84
0.62
1.84
Total Debt/Equity (the lower the better)
0.01x
0.4x
0.01x
GLOBAL RANK [out of 46,503 stocks] AND RANK OF INDUSTRIES QATAR IN THE MIDDLE EAST & AFRICA REGION [out of 1,906 stocks]
Description
Value
Global Rank
In MEA Region
MCap ($)
20B
922
28
Total Assets ($)
11.8B
2,746
102
Revenue ($)
3.2B
3,469
87
Net Profit ($)
1.3B
1,050
44
Return on Equity %
11.8
11,177
568
Net Profit Margin %
40.2
2,558
278
Price to Book
1.8
21,503
955
Price/Earnings
15.4
11,645
634
Yield %
6.5
3,627
285
PV1000 (1Year) $*
1,102
15,455
645
$* Change (1Year) %
3.1
17,111
715
* 1 year ago $1 = QAR 3.64
Apr 24, 2024: $ 1 equals QAR 3.64
RANK OF INDUSTRIES QATAR IN THE QE INDEX [out of 19 stocks] AND IN THE QATAR MARKET [out of 44 stocks]
Description
Value
In QE Index
In Qatar Market
MCap (QR)
73B
2
2
Total Assets (QR)
43.1B
8
10
Revenue (QR)
11.7B
3
4
Net Profit (QR)
4.7B
2
2
Return on Equity %
11.8
6
8
Net Profit Margin %
40.2
6
15
Price to Book
1.8
16
35
Price/Earnings
15.5
15
27
Yield %
6.5
2
5
PV1000 (1Year) QAR
1,102
10
16
LONG-TERM FUNDAMENTAL RANKING: 4 OUT OF 5 [5 is best]
Industries Qatar is ranked number 1 out of 1 listed chemicals companies in the Qatar with a market capitalization of QAR73 billion ($20 billion).
Within its sector it has a relatively high P/E of 15.5 and high Price/Sales of 6.2.
Stocks are scored on a set of parameters reflecting fundamental analytical tools involving valuation, size and financial performance. They are ranked according to the average values of those parameters. The highest ranking is 5 and the lowest ranking is 1.
Glossary
ADVT: Average Daily Volume of shares Traded
Annual Return: Dividends Paid In a 12-Month Period/Price at the Beginning of the Period + Capital Gain or Loss over 1 Year/Price 1 Year Ago (%)
Capital Gain/Loss from n Years Ago to n-1 Years Ago: Capital Gain or Loss over 1 Year/Price 1 Year Ago (%)
Cash/MCap: Cash plus Liquids/Market Capitalisation (times)
Current Ratio: Current Assets/Current Liabilities (times)
Debt/Equity: Net Debt/Net Assets %
Dividend Yield: Dividend Per Share/Share Price (%)
EBIT Margin : Earnings Before Interest and Tax/Revenue (%)
Earnings Yield: Earnings Per Share/Share Price (%)
Income during the n years (3/2/1): Dividends received during the Period
PV1000: Present value of 1000 invested 1 year/'n' years ago
Price/Earnings: Share Price/Earnings Per Share (times)
Price/NTA: Closing Share Price/Net Tangible Assets Per Share (times)
Price/Sales: Share Price/Sales Per Share (times)
Relative Price Change [RPC]: Relative price change is price change of stock with respect to Benchmark Index
Relative Strength (6 Months): Price close today/Price close 6 months ago, then ranked by percentile within the entire market.
Return on Assets: Net Profit/Total Assets (%)
Return on Equity (Shareholders' Funds): Net Profit/Net Assets (%)
TSR: Total Shareholder Returns is expressed as an annualized rate of return for shareholders after allowing for capital appreciation and dividend
TTM: Trailing 12 Months
Volume Index (VI): Number of shares traded in the period/Average number of shares traded for the period
Volume Weighted Average Price (VWAP): The Volume Weighted Average Price (VWAP) is the summation of turnover divided by total volume in the same period.
Disclaimer: While this document is based on information sources which are considered reliable, it has been prepared without consideration of your specific investment objectives, financial situation or needs, so you should carry out your own analysis or seek professional investment advice before an investment decision is made. The document contains unbiased, independent equities data and analysis from Jupiter International (Australia) Pty Ltd trading as BuySellSignals (AFS Licence 222756), who provide round the clock analysis on every stock, every sector, every market, every day. BuySellSignals is not a broker, and does not have executing, corporate advisory or investment banking functions. Jupiter International (Australia) Pty Ltd, its directors, employees and contractors do not represent, warrant or guarantee, expressly or impliedly, that the information contained in this document is complete or accurate.
Data for the BuySellSignals algorithms is drawn from annual reports, company websites and similar sources of publicly available data. It should be used as a guide only.
