DEPA PLC
RESULTS FOR THE SIX-MONTHS ENDED 30 JUNE 2024
1
HIGHLIGHTS
Depa PLC ("Depa"), the premier global interior solutions group, is pleased to announce its financial results for the six-months ended 30 June 2024.
Haitham Tuqan, Group Chief Executive Officer, commented:
AED
623.0
Million
AED
464.2
Million
Revenue
Achieved a robust revenue of AED 623.0 million, marking a notable increase from AED 464.2 million in H1 2023.
AED
46.3
Million
AED
(49.7)
Million
Net Profit
Net profit of AED 46.3 million compared to net loss of AED 49.7 million in H1 2023.
AED
268.6
Million
AED
244.8
Million
Cash
Maintained healthy cash position with cash and cash equivalents totalling AED 268.6 million compared to AED 244.8 million in FY 2023.
AED
1,692
Million
AED
1,497
Million
Backlog
Our backlog stands strong at AED 1,692 million, reflecting steady growth compared to AED 1,497 million in H1 2023.
"I am delighted to share our consolidated
2024 semi-annual results. Our commitment to quality and customer satisfaction has been the cornerstone of our success, and our financial results are a testament to our dedication and hard work.
Our management initiatives for achieving operational excellence have been instrumental to our expansion in Saudi Arabia and delivering profitable results. We have focused on strategic growth while ensuring that we do not compromise on quality, delivery time, and customer satisfaction.
We are proud to contribute to Saudi Arabia's leadership Vision 2030 and be a part of its transformative journey while maintaining our presence and commitment to delivering quality projects in the United Arab Emirates and the region. This commitment ensures that we continue to meet the high standards expected by our customers and stakeholders.
As we move forward, we will continue our commitment to delivering quality fit-out solutions and creating lasting value for our stakeholders."
2
DEPA PLC
GROUP FINANCIAL REVIEW
3
FINANCIAL PERFORMANCE SUMMARY
Revenue | Generated AED 623.0 million, up by AED 158.8 million (H1 2023: AED 464.2) driven by strong growth in Saudi |
Arabia, particularly Depa Interiors Group's staggering 2.18x revenue growth. | |
Expenses | Incurred AED 604.9 million, up by AED 139.3 million (H1 2023: AED 465.6 million). Increased at a lower rate |
compared to revenue growth. | |
Net reversal of impairment | Recorded net reversals of provisions for doubtful debts of AED 36.1 million (H1 2023: provision of AED 42.9 |
on financial and contract | million) primarily related to successful settlement of impaired legacy contract receivables for Depa Interiors and |
assets | Deco. |
Associates | Loss of AED 0.5 million (H1 2023: profit 0.9 million). |
Net Finance expense | Incurred AED 0.4 million (H1 2023: AED 3.1 million). |
Income tax expense | Recognized AED 7.0 million, up by AED 3.8 million (H1 2023: 3.2 million) in line with the introduction of UAE |
corporate income tax effective 01 January 2024. | |
Net results | Generated net profit for the period AED 46.3 million, up by AED 96.0 million (H1 2023: net loss AED 49.7 |
million). | |
34.2%
Revenue growth compared to H1 2023
AED 96 million Net profit increase compared to H1 2023
4
FINANCIAL POSITION SUMMARY
Cash and bank balances | The Group reported period-end cash and bank balances of AED 315.3 million (FY 2023: AED 275.0 million) |
including fixed deposits and restricted cash. | |
Net cash balance | The Group reported period-end net cash of AED 228.0 million (FY 2023: AED 201.9 million) net of bank |
borrowings and lease liabilities and excluding restricted cash and long-term fixed deposits. | |
Assets | Total assets amounted to AED 1,136.0 million (FY 2023: AED 1,043.0 million) of which AED 838.1 million are |
current (FY 2023: AED 749.2 million). | |
Liabilities | Total liabilities amounted to AED 698.3 million (FY 2023: AED 649.5 million) of which AED 591.9 million are |
current (FY 2023: AED 554.4 million). | |
Equity | Equity attributable to equity holders of the parent stood at AED 441.4 million (FY 2023: AED 397.2 million). |
Share capital | As at 30 June 2024, the Group's outstanding ordinary shares and ordinary Class-A shares amounted to |
1,364,145,794, net of 4,306,959 treasury shares. | |
1.42
Current ratio
1.60
Liabilities/equity ratio
5
CASH FLOW SUMMARY
Operating activities | Net cash inflow from operating activities amounted to AED 37.6 million (H1 2023: out flow AED 2 million) |
supported by profitable operating activities and effective working capital management. | |
Investing activities | Net cash outflows used in investing activities amounted to AED 3.9 million (H1 2023: AED 9.4 million) stemming |
from prudent capital expenditure decisions. | |
Financing activities | Net cash outflows used in financing activities were AED 6.9 million (H1 2023: out flow AED 22.1 million). |
Exchange differences on | Unfavorable foreign exchange differences resulted in AED 3 million negative movement (H1 2023: AED 3.6 |
translation of foreign | million negative movement) in the reported cash and cash equivalents. |
operations | |
Cash and cash equivalents | The Group ended the period with cash and cash equivalents of AED 268.6 million (H1 2023: 201.2 million). |
balance | |
AED 244.8 million Opening cash & cash equivalents 1 Jan 2024
AED 26.8 million Net increase in cash and cash equivalents during H1 2024
AED (3.0) million
Currency translation difference
AED 268.6 million
Ending cash & cash equivalents 30 June 2024
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DEPA PLC
GROUP OPERATIONAL REVIEW
7
Depa Interiors Group
Financial highlights:
- Revenue: AED 342.9 million, up AED 185.6 million or 118% compared to H1 2023
- EBIT: AED 42.3 million, up by AED 95.7 million from AED 53.4 million loss in H1 2023 due to healthy backlog wins and settlement of impaired receivables on legacy contracts
Operational highlights:
- Increase in revenue with a strong backlog predominantly in KSA
342.9 | 42.3 | ||
157.3 | |||
-53.4 | |||
Revenue | EBIT | ||
H1 2023 | H1 2024 | H1 2023 | H1 2024 |
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Vedder
Based in Germany, Vedder is the world's leading provider of fit-out solutions for the global superyacht, private jet and residence markets
Financial highlights:
- Revenue: AED 182.8 million, down AED 16.7 million or 8.4% compared to H1 2023
- EBIT: AED 12.4 million, up by AED 1.3 million or 11.7% compared to H1 2023
Operational highlights:
- Revenue has decreased due to slower project completion during the current period as compared to same period in the prior year
- Increase in EBIT mainly due to increase in gross margins of new projects won and savings achieved across general & administrative expenses.
199.5 | |
182.8 | |
Revenue | |
H1 2023 | H1 2024 |
12.4 | |
11.1 | |
EBIT | |
H1 2023 | H1 2024 |
9 |
Deco Group
The Middle East's leading provider of interior solutions for the luxury retail market, premium marble supply and installation, and high-quality furniture and joinery works
Financial highlights:
- Revenue: AED 120.6 million, up AED 8.8 million or 7.9% compared to H1 2023
- EBIT: AED 11.4 million, up AED 6.8 million or 147.8% compared to H1 2023
Operational highlights:
- Strong relationships with long-term clients securing projects for Louis Vuitton, Versace, Dior, Chanel and Dolce & Gabbana during the year
- Increase in revenue and EBIT mainly from new projects wins in second half of 2023 and early 2024 with sustained profitability
120.6 | |
111.8 | |
Revenue | |
H1 2023 | H1 2024 |
11.4 | |
4.6 | |
EBIT | |
H1 2023 | H1 2024 |
10 |