RAMALLAH, Palestine, Aug. 15, 2023 /PRNewswire/ -- Arab Palestinian Investment Company (APIC) Chairman and CEO Tarek Aggad announced that APIC achieved an EBITDA of USD 35.4 million in the first half of 2023. Net profits amounted to USD 12.34 million in the first half of 2023, versus USD 20.38 million for the same period of 2022, a decline of 39.43% year on year. Net profits attributed to APIC shareholders in the first half of 2023 reached USD 11.08 million. Total revenues grew by 7.2% year on year and amounted to USD 590.8 million. Total assets increased by 8.74% compared to 2022's closing and reached USD 756 million, while net equity attributed to APIC shareholders increased by 7% compared to 2022's closing and amounted to USD 186.7 million.
Aggad explained the main reasons that contributed to the decline of 2023's first-half results compared to the same period last year, which included inflation in financing costs due to the global rise in interest rates that began in the second quarter of last year, and the continued increase in interest rate indices up to the present day, in addition to the shortage of essential supplies faced by some companies within the group due to logistical problems with some global suppliers, especially in the pharmaceutical and medical supplies distributed by APIC subsidiary Medical Supplies and Services Company. Additionally, there was an accounting impact related to the application of International Accounting Standard No. 29 on the results of Siniora's Turkish subsidiary Polonez since Turkey was classified as a hyperinflationary country. It is worth noting that the first-half results of last year included one-time capital gains from an investment, as well as the exceptional results achieved by Siniora, a subsidiary of APIC. Therefore, these factors combined led to lower results in the first half of 2023 when compared to the same period in 2022.
Aggad went on to affirm the company's solid financial position and its good results despite the many challenges. He also expressed confidence in the performance of the group's companies and their ability to achieve good results that meet the expectations of shareholders this year.
The distribution of USD 15.64 million in dividends to APIC shareholders
Aggad added that APIC distributed five million in bonus shares to its shareholders, representing around 4.46% at par, noting that APIC's paid-in capital became USD 117 million following this distribution. APIC also distributed USD 10.64 million as cash dividends, representing 9.5%. Accordingly, the total dividend payout amounted to USD 15.64 million, representing around 13.96% of the company's paid-in capital.
About APIC
APIC is a foreign public shareholding investment holding company listed on the Palestine Exchange (PEX: APIC). It holds diversified investments across the manufacturing, trade, distribution and service sectors in Palestine, Jordan, Saudi Arabia, the United Arab Emirates, Iraq and Turkey through its subsidiaries: Siniora Food Industries Company; Unipal General Trading Company; Palestine Automobile Company; Medical Supplies and Services Company; National Aluminum and Profiles Company (NAPCO); Sky Advertising and Public Relations and Event Management Company; Arab Leasing Company and Arab Palestinian Storage and Cooling Company, employing around 3,000 people through its group of subsidiaries. More information: www.apic.ps
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