Rawabi, 27/11/2023
Palestine Development and Investment Company (PADICO) disclosed its year-to-date financial results ending in the third quarter 2023, where the company achieved a net profit (attributable to PADICO’s shareholders) $10.6 million compared to $17.8 million for the same period last year, a decrease of 40%. Earnings per share amounted at 5.4 cents, while the book value of the share reached $1.87.
The decline in performance was attributed to the provisions recorded by PADICO subsidiaries and affiliates in response to the current damages caused by the aggression on the Gaza Strip. An amount of approximately $30 million was recorded as provisions in the third quarter of 2023, whereas PADICO’s share from these provisions amount to $11.5 million approximately. PADICO’s anticipated that its results before these provisions would have been $22.1 million in net profit; which represents a growth of 24% for the same period last year.
The Ayan Hotel (previously Al Mashtal), located on the Northern Beach of the Gaza Strip which was rebranded and launched on August 26, 2023 was destroyed due to the bombardments. Also, Palestine Telecommunications Company/Jawwal operations and assets suffered direct losses and damages. Gaza Industrial Estate also faced damages, as many of its factories were directly hit within the first three days of the aggression, however, assessing the extent of the damages was not possible after the fourth day, as it was inaccessible to due to its location in the Northern Gaza Strip.
PADICO’s team is diligently monitoring and analyzing the everchanging circumstances, while evaluating future developments across all governorates for their impact on the company’s financial results and cash flows.
PADICO is a public shareholding company that invests in many vital economic sectors, such as telecommunications and information technology, real estate, financial services, industries and agriculture, tourism, infrastructure and energy, and industrial zones.
