Qatari Investors Group Q.P.S.C. (QIGD) Earnings Call Transcript

Hello, and welcome to Qatari Investors Group Conference Call. Please note that this call is being recorded. You will have the opportunity to ask questions to our speakers later on during the Q&A session. [Operator Instructions] Now I would like to hand the call over to Shahan. You may begin.

Thank you, Angela, and hello, everyone. I want to welcome you to Qatari Investors Group's 3Q 2025 Financial Results Conference Call. So on this call from management, we have the company's CEO Houssam El Kurdi, and Muhammad Shiraz, Group Financial Controller. So as usual, we will conduct this call with first management reviewing the company's results, followed by a Q&A session. I will turn the call over now to Houssam. Please go ahead.

Thank you very much. Hello, ladies and gentlemen. I will go over a review in English, followed by the same review in Arabic. And then we will move on to questions and answers. Ladies and gentlemen, it's my pleasure to welcome you to the Qatari Investors Group QIG IR call. My name is Houssam El Kurdi, Chief Executive Officer; and here with me is Mr. Muhammad Shiraz, Group Financial Controller. We are pleased to present to you the third quarter results of QIG Group for 2025. In this call, we will highlight the financial performance of the group and the progress achieved during the reporting period. The group recorded a total revenue of QAR 433 million for the period, which is representing an 18% increase compared to the same period last year. This increase was primarily driven by an increase in the Industrial section and increase in contracting activities such as Security sector. Other sectors such as the Marine Services are showing a decline in revenue as shipping volume has dropped in the country, and it shall improve in the next quarter as well. The group's net profit for the period amounts to QAR 100 million, a 15% decrease as compared to the same period last year. EBITDA reached QAR 187 million for the period, 14% lower than last year. Finally, we focus our effort to implement a strategy of diversification and investment to make more achievements that benefit the group and enable us to play an active role in supporting Qatari's economic vision. Thank you. And now I will move to the Arabic text. [Foreign Language]

Angela, we can go to Q&A session now, please.

[Operator Instructions] And your first question comes from the line of Adnan Muqeem with Al Rayan Investment.

If I look at your 9-month results, your revenues are higher. However, your gross margin has declined -- gross profit has declined. So could you give us more information of what is the reason for this decline in gross profit?

Okay. Thanks for your question. We will explain this in -- I believe that the reason for increase in revenue, definitely, as we highlighted earlier that we initiated this time export activity, okay? So the main reason for increase in revenue is this part. And as you are asking this reduction or the reduced size of gross profit margin, so it is associated cost which takes this margin down because of this.

There's some kind of disturbance. Can you repeat it why the revenue increased?