Milaha reorganises to focus on marine services business
Qatari maritime group Qatar Navigation (Milaha) Q.P.S.C. has unveiled a reorganisation plan aimed at boosting the company’s presence in the marine services sector.
As explained, the changes are in line with Milaha’s strategy to expand services for its core customers in the marine and logistics sectors and develop local capabilities to support Qatar National Vision 2030.
As part of the reorganization, Milaha is creating a new strategic pillar – Marine & Technical Services – that will focus on providing vessel and industrial equipment owners and operators with “comprehensive, end-to-end services” to help them achieve greater asset efficiency and lower total cost of operations.
The pillar will include both current activities — ship management, shipping agency, shipyard, bunkering — and introduce new services, such as ship chandlering. Milaha will also combine its truck sales and distribution activities with its land-based asset maintenance and servicing activities.
“We aim to be a one-stop shop for the needs of all shipowners and operators, trucking companies, and heavy equipment operators. This is also in response to the increased growth in maritime shipping in Qatar, particularly after the opening of Hamad Port as well as the anticipated growth from the second phase, in addition to the growth in the oil and gas sector over the next few years,” Abdulrahman Essa Al-Mannai, Milaha President and Chief Executive Officer, commented.
As part of the re-alignment of the company, the existing Maritime & Logistics pillar will focus on enabling trade and providing end-to-end supply chain solutions for commercial customers, through its container shipping, ports, and logistics.
As part of its focus on its core business, Milaha is also exiting its travel agency business, as well as de-emphasizing its equipment agency and distribution activities.
As a result of the re-organization, four out of Milaha’s five strategic pillars will focus on our core-business pillars — (1) Maritime and Logistics, (2) Offshore Marine, (3) Gas & Petrochem, and (4) Marine & Technical Services. The fifth pillar, Milaha Capital, will deal solely with financial and real estate investments, Milaha said.
“Over 80% of our revenues are now coming from our core sectors and customers, and we plan to build market-leading positions in these areas in the coming years. Developing these capabilities locally will also support the diversification and competitiveness of Qatar’s economy, in line with QNV 2030,” Al Mannai added.
In the first quarter of this year, Milaha’s net profit rose by 1.8 per cent to QAR 283 million (around $78 million) from QAR 278 million seen in the corresponding period a year earlier.
Operating revenues stood at QAR 690 million in the three months ended March 31, 2020, compared to QAR 710 million recorded in the same period in 2019.