Kuwait’s Agility to add 120,000 sqm warehousing capacity in Saudi

Kuwait-based Agility Public Warehousing Co. said it will focus on Saudi Arabian market to expand the industrial real estate segment of its business, with the aim to deliver 120,000 square meter of warehousing capacity in the Kingdom over the coming quarters.

The firm delivered 80,000 sqm warehousing capacity this year, Agility said on Thursday during the investors’ call to discuss its Q2 2018 financial reports.

Agility is also looking to expand its land bank in Saudi Arabia, Ehab Aziz, group CEO, said during the call.

“We are seeing significant demand from global e-commerce players coming to the Saudi market for our facilities as there is a lack of proper infrastructure there, so we are very bullish,” Aziz said.

The CEO said he sees the ongoing reforms in the Kingdom as positive in the long term.

“Despite all the noise and all the risk and all the distraction … we believe eventually things will pay out well for the economy in Saudi,” Aziz said.

“Some of the macro numbers started to come out more positively than before and we are long players in the Saudi market,” he added.

The logistics firm, which is listed in Kuwait and Dubai, posted a net profit of nearly KWD 20 million in Q2 2018, up 18.7 percent year-on-year.

The increase in earnings was attributed to higher operating profit.