After a difficult period for the company, Gulf Navigation has bounced back strongly, announcing a highly positive set of results for 2022. Gross revenues reached AED 137 million dirhams (US$ 37.31 million), up around 15% compared to AED 119 million (US$ 32.41 million) for the same period in 2021, while profitability at AED 20 million (US$ 5.45 million) was similar to the previous year, stabilising its position.
Commenting on the results, His Highness Sheikh Theyab bin Tahnoon bin Mohammad Al Nahyan, Chairman of Gulf Navigation Holding, said:” The company has achieved strong financial results and witnessed remarkable developments over the past year. The financial and operational performance demonstrates the effectiveness of our business model and the efficiency of our team and executive management, as well as our ambitious strategy for growth and expansion in the region.”
The revenue increase was mainly driven by an upturn in charter hire and agency services. As part of its efforts to improve its financial performance, the company also reduced financing costs by 18% by restructuring all its loans under preferential terms during 2022. Ahmad Kilani, Managing Director, added, “We have been able to reduce the impact of the accumulated losses on the company’s operations by improving the performance of vessels and taking the necessary measures to overcome challenges and exit unprofitable business sectors.”
A recent restructuring has meant that the company’s operations are now delivered through three business units – Maritime Operations, Ship Management and Agency Services. “These units aim to provide an agile, flexible and comprehensive approach that gives clients tangible value,” says Kilani.
Gulf Navigation plans to purchase new petrochemical tankers, modernise the company’s fleet and expand the agency services and ship management units using recently sourced capital over the months to come. Its goal is to increase the size of its fleet by 50% over the next two years, a statement added.
Gulf Navigation is headquartered in Dubai, with branch offices inside the port of Fujairah, Khorfakkan, Abu Dhabi and an overseas office in the Kingdom of Saudi Arabia. The company has a fleet of chemical tankers, livestock transport and offshore support vessels, as well as marine services and ship repair operations.