Agility reports profit growth in 2009
Logistics company Agility reported net profit of 156.4 million Kuwait dinars ($544 million) for 2009, 10.7 percent more than in 2008.
Revenue was 1.7 billion dinars ($5.9 billion) in 2009, 7.1 percent less than in 2008.
The firm said that it is continuing negotiations to try and resolve a lawsuit that claims the U.S. military was overbilled for logistics services.
“There is no guarantee that the parties can reach a mutually agreeable settlement,” Agility said, noting its financial results did not include a provision to include the U.S. Justice Department lawsuit “due to the inherent uncertainty.”
Tarek Sultan, the company’s chairman and managing director, said, “2009 was a mixed year for Agility. On one hand, the company was able to report solid operational profits, continue to grow its emerging market footprint, and attract a number of important new customers around the world. This is particularly significant given a global financial crisis that hit the logistics industry hard overall.”
“On the other hand, Agility is facing a number of challenges, including the slower-than-expected recovery from the global economic recession, the troop drawdown in Iraq, and the ongoing legal issues,” he added.
The company said it won business last year from Nokia, Mattel, Formula One Management UK and Yas Marina Circuit, and expanded its network in emerging markets through new facilities in Malaysia, Singapore and Saudi, and new offices in Poland and Ukraine.
It also said it made acquisitions in Brazil and Mexico.