Bahrain Duty Free Shop Complex (BDFSC) achieved a net profit of US$4.8m in Q1 2014, an 11.3% increase on Q1 2013 earnings which reached US$4.3m.

 

Sales recorded in the period were US$17m ahead of last year by 9% despite flat passenger volumes in the quarter; the airport served 1.5m passengers.

 

In February, TRBusiness reported that sales for Bahrain Duty Free Shop Complex (BDFSC) reached US$69.1m in 2013, -5.2% from 2012’s sales of US$72.9m, while sales in Q4 declined by nearly US$1m to US$18.5M (US$19.4m in 2012).

 

BDFSC attributed the decline in sales to a fall in passengers travelling through the Airport. However, the company said its full year net income was US$17.1m up slightly from US$16.9M in 2012, while the fourth quarter produced a net income of US$3.6m up 5% from the 2012 figure of US$3.4m.

 

Managing Director Mr. Abdulla Buhindi.

 

BDFSC puts the increased spending in Q1 2014 down to ‘excellent marketing initiatives’ and shop upgrades. The company’s operating costs climbed by 4.4% due mainly to increased marketing activities and additional depreciation.

 

Investment income was ‘very strong’ recording a growth rate of 57.4% in the quarter coming from profits on the disposal of some investments and increased dividends from new equity stocks.

 

Earnings per share were 4.5 cents. Total Equity on Company’s Balance Sheet stands at US$106.4m down 3.6% due to dividend distribution in March.

 

Managing Director Mr. Abdulla Buhindi said the company had performed very well despite some difficult operating challenges. “The company is currently working on several projects at the Airport to upgrade shops in line with the strategy to provide high levels of efficiency and excellent services to travellers.”