Alijarah Holding (Q.P.S.C.) (NLCS) Earnings Call Transcript

Hello, and welcome to National Leasing Conference Call. Please note that this call is being recorded. [Operator Instructions] Thank you. And I would like to hand the call over to Dana. You may begin. Please go ahead.

Hello, everyone. This is Dana Al Sowaidi from QNB Financial Services. I would like to welcome everyone to Alijarah Holding's Second Quarter 2026 Financial Results Conference Call. On this call from management, we have Raja, Finance Manager; and Mohamad Sleiman, Account Supervisor. We will conduct this conference call with the management reviewing the company's results, followed by a Q&A session. I will now turn the call over to Raja. Please go ahead.

Good afternoon, everyone. Thank you for joining Alijarah Holding H1 '26 IR Conference Call. I am Rajasekaran, Finance Manager of Alijarah Holding. I am pleased to be joined by Mohamad Sleiman, our Account Supervisor, who will walk you through the first half performance and financial highlights. Following his presentation, we will open the floor for questions. Thank you.

Good afternoon, everyone, and thank you for joining us today. I'll walk you through Alijarah Holding's performance for the first half of 2026. During the first half of the year, Alijarah's performance resulted in a stable profit despite the prevailing market conditions in the region, which impacted both operational and investment revenue during the period. Despite a 19% decline in revenue to QAR 39 million in the first half of 2026 compared to QAR 48 million in the same period last year, Alijarah maintained stable profitability. Net profit increased slightly by 0.7% to QAR 11.09 million from QAR 11.09 million (sic) [ QAR 11.02 million ] in the same -- in the first half of last year. This improvement was primarily driven by the lower operating and financing costs together with the reversal of provisions following the collection of previously impaired receivables. Earnings per share remained stable at QAR 0.022, in line with the same period last year. Turning to our financial positions. Total assets increased from QAR 821 million as of December 2025 to QAR 831 million as of the end of the first half of 2026, mainly driven by the new bank financing obtained to support investment activities. Total liabilities increased from QAR 170 million to QAR 201 million, mainly reflecting the same financing. Total equity decreased from QAR 650 million to QAR 630 million, primarily due to the decline in the fair value of long-term investment securities and the distribution of dividends. As for the cash flow, net cash used in operating activities amounted to QAR 11 million, while net cash used in investing activities totaled QAR 8 million. Net cash generated from financing activities amounted to QAR 18 million. This concludes our review for Alijarah financial performance for the first half of 2026. Looking ahead, we hope the situation in the region will improve soon. As conditions become more stable, we expect Alijarah performance to improve in the coming quarters. Thank you for your attention. We will now open the session for questions, and we'll be pleased to answer them. Thank you.

[Operator Instructions] That concludes our Q&A session. I will now turn the conference back over to Dana for closing remarks. Please go ahead.