Qatar Electricity & Water Company Q.S.C.
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Qatar Electricity & Water Company Financial Snapshot
Q.S.C. Operating Performance
Fast Facts The company reported revenue of US$939.79 million
during the fiscal year 2010 (2010). The company's
revenue grew at a CAGR of 18.86% during 2006–
Headquarters Address Al Ahad Street, Doha, ,Qatar
2010, with an annual growth of 29.40% over 2009. In
2010, the company recorded an operating margin of
Telephone + 974 4 858585
40.00%, as against 35.95% in 2009.
Fax + 974 4 831116
Revenue and Margins
Website www.qewc.com
Ticker Symbol, Stock Exchange QEWS, Doha Securities Market
Number of Employees N/A
Fiscal Year End December
Revenue (in US$ million) 939.79
Revenue (in QAR million) 3,430.23
Return on Equity
SWOT Analysis The company recorded a return on equity (ROE) of
30.90% for 2010, as compared to its peers, Hera
Strengths Weaknesses S.p.A. (Ticker: HER), Ameren Corporation (Ticker:
AEE) and Dynegy Inc. (Ticker: DYN), which recorded
Leading position Dependency on thermal fuel sources ROEs of 6.79%, 1.80% and -8.52% respectively. The
company reported a net profit margin of 40.00% in
2010.
Strong operational performance
Return on Equity
Strong portfolio of power projects
Opportunities Threats
Investment plans Alternate energy sources
Launching new power plants Environmental laws and regulations
Strong forecast growth in energy
Volatility in price level
demand
Liquidity Position
The company reported a current ratio of 0.75 in 2010,
as compared to its peers, Hera S.p.A., Ameren
Corporation and Dynegy Inc., which recorded current
ratios of 1.25, 1.53 and 1.43 respectively. As of
December 2010, the company recorded cash and
short-term investments of worth US$568.27 million,
against US$443.57 million current debt. The company
reported a debt to equity ratio of 3.83 in 2010 as
compared to its peers, Hera S.p.A., Ameren
Corporation and Dynegy Inc., which recorded debt to
equity ratios of 1.57, 1.00 and 1.74 respectively.
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Qatar Electricity & Water Company Q.S.C. - SWOT Page 1
Profile
Qatar Electricity & Water Company Q.S.C.
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TABLE OF CONTENTS
1 Business Analysis ................................................................................................................................... 5
1.1 Company Overview ................................................................................................................................................5
1.2 Business Description ..............................................................................................................................................5
1.3 Major Products and Services .................................................................................................................................6
2 Analysis of Key Performance Indicators ............................................................................................... 7
2.1 Five Year Snapshot: Overview of Financial and Operational Performance Indicators ..........................................7
2.2 Key Financial Performance Indicators .................................................................................................................10
2.2.1 Revenue and Operating Profit .........................................................................................................................10
2.2.2 Asset, Liabilities and Capex .............................................................................................................................11
2.2.3 Net Debt vs. Gearing Ratio ..............................................................................................................................12
2.2.4 Operational Efficiency ......................................................................................................................................13
2.2.5 Solvency ..........................................................................................................................................................14
2.2.6 Valuation ..........................................................................................................................................................15
2.3 Competitive Benchmarking ..................................................................................................................................16
2.3.1 Efficiency ..........................................................................................................................................................16
2.3.2 Turnover – Inventory and Asset .......................................................................................................................17
2.3.3 Liquidity ............................................................................................................................................................18
3 Mergers & Acquisitions and Partnerships ........................................................................................... 19
3.1 M&A and Partnerships Strategy ...........................................................................................................................19
4 SWOT Analysis ...................................................................................................................................... 21
4.1 SWOT Analysis - Overview ..................................................................................................................................21
4.2 Strengths