Bahri Annual Report- 2018

86

87

Annual Report 2018

Capital Structure & Financing

Key Indicators - Efficiency 2014-2018 Despite the decline in global

Bahri’s healthy financial position is the result of consistently strong performance and the high level of solvency the Company has managed to achieve and maintain. It is also reflective of positive cash flows achieved from the Company’s operations which are expected to be maintained in the future. The Company’s future growth is

dependent on its expansion strategies and purchasing its fixed assets through its own capital sources and long-term loans. Fixed assets depreciate over a long period of time, typically 25 years. Bahri was able to diversify its funding sources, including short-term borrowings and long-term loans, by working with government entities, local,

and international commercial banks. These loans were secured in either Saudi riyals or US dollars to acquire the required funding at competitive prices and reduce the risks associated with the increase of interest rates and other funding costs.

difficulties and challenges faced by the maritime transportation sector over the year. Bahri’s strategy has contributed to business diversification and fleet expansion in addition to long-term partnerships with strategic customers

and enhanced operation efficiency through positive financial results. Furthermore, achieving a healthy financial position and high level of solvency will enable the Company to continue pursuing its investment and strategic plans.

transportation rates, Bahri was able to achieve positive financial results and continue delivering good net income and financial indicators in 2018 compared to other transport and shipping companies, and despite the

Murabaha financing & long-term loans during 2018 (In thousand)

125.00

10

914,825 1,075,289 10,171,617

10,332,082

100.00

Start of Year Loan Balance

Loan Average Duration (Years)

Additions Throughout the Year

Paid During the Year

End of Year Loan Balance

75.00

50.00

Consolidated Cashflow 2014 - 2018

25.00

0.00

4,000,000 3,000,000 2,000,000 1,000,000 0 1,000,000 2,000,000 3,000,000 4,000,000

25.00

2014

2015

2016

2017

2018

Profit Margin Before Depreciation and Financing and Zakat Costs Operating Profit Margin Return on Sales %

Return on Total Equity Return on Equity

Revenue Growth Rate

Return on Assets

Efficiency 2014 – 2018 2018 2017

2016

2015

2014

7.97

13.34 35.71 20.00

25.77 42.18 28.19 18.08 17.35

24.82 39.21 28.41 19.58 18.74

14.72 35.31 18.69

Return on Sales %

Profit Margin Before Depreciation and Financing and Zakat Costs %

30.91 15.82

2014

2015

2016

2017

2018

Operating Profit Margin %

5.21 4.97 2.30 1.39

8.49 8.13 3.81

6.83 6.52 3.12

Return on Equity %

Net cash from investing activities

Net cash flows from operating activities

Net cash from financing activities

Return on Total Equity %

8.40

9.52

Return on Assets %

End of trading period cash and cash equivalents

Net difference in cash and cash equivalents

(10.94)

(9.05)

105.82

27.39

Revenue Growth Rate %

Cash Flows 2014 - 2018

2018

2017

2016

2015

2014

(SAR “000”)

1,119,244 1,140,085 2,187,733 2,923,047

940,856

Net cash flows from operating activities Net cash from investing activities Net cash from financing activities Net difference in cash and cash equivalents End of trading period cash and cash equivalents

(1,081,616)

(1,640,781)

(2,008,035)

(1,629,098)

(3,474,732) 2,577,618

(635,263) (597,635) 592,806

(388,856) (889,552)

660,433 840,131

(464,426) 829,523

43,742 313,308

1,190,441 2,079,993 1,142,831

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