Company Overview

Introduction
Introduction

AARC is a leading Refrigeration Solutions provider operating in Qatar. our service has been recognized by industry experts as being one of the most dependable
and professional in the market. We established more than three decades ago with general whole sale business of FMCG products in Qatar. Apart from cold rooms
we are doing supply, installation , commissioning ,Servicing and Maintenance of Air Conditioning Equipment’s, Air Curtains, Plastic Strip Curtains ,Bus A/C
compressors, Compressor Shaft Seals, Display Chillers ,Open Freezers, Refrigerated Cargo Boxes, Dry Boxes etc.

We undertake industrial and commercial refrigeration projects as well as provide transport refrigeration solutions to the industry. Joining hands with Leading
Worldwide Brands like Carrier, Zepro, Thermal Master, we are well equipped to serve the Qatar industry with modern and reliable refrigeration products and
services.
•Engineering Service,
BUSINESS TYPE Dealership, Distribution

Vision TOTAL NO. OF

•50 – 70 Staffs
➢ To provide quality technical products & excellent services. EMPLOYEES
➢ Delight customers by providing latest & cost effective Technical Innovations.
➢ Improve the quality of life to everyone concerned. YEAR
•2010
➢ Minimizing wastages & protect environment through greener Technologies. ESTABLISHED

Mission CITY •Doha

➢ To be a well established company in Qatar in the areas of HVACR and

COUNTRY /
heavy equipment ,providing excellent products & services • Qatar
REGION
Company Portfolio
• Commercial & Industrial refrigeration.
• Cold rooms & Supermarket Display
units.
• Air-conditioning (new Installations &
Maintenance)
• Transport refrigeration units,
Thermoking, ThermalMaster &
Hawasung.
• Insulated boxes & reefer containers
• Refrigeration & Air-conditioning spares
Industry Market Overview
Refrigeration market is laden with a lot of small
players with low level of technological support.
Technicians without experience and practical
knowledge offer cheaper service and labor. The
life time cost of equipment supplied and down
time of the products are very high. This in
consideration with good products and quality
service will end up the user to save a lot in
electrical consumptions, down time and
wastages of food product.
Tough competitions and lower profit margins
are the negative drivers in the market.
Organization Chart

General Manger Operations

Mr. Sam Mounir Sheik

Accounts/Finance Senior Manager Sales Manager

Mr. Fahad Ashraf Mr. Sunil Thomas Mr. Sajith Perumpadappil

Sales Team

Junior Accountant
Transport Refrigeration Cold Room Projects
Mr. Mohamed
Akthab

Project Engineer
Mr. Trinayan

Sr. Welder/Fabricator Project Engineer

Sr. Ref. Technician Project Supervisor

Team Team
 Management Team

• Mr. Sam Sheik (General Manager)

• Mr. Sunil Thomas (Sr. Manager Operations)

• Mr. Sajith Perumpadappil (Sales Manager)

Products

Condensing Unit

Carrier refrigeration units are designed for High

ambient Application. Bitzer compressors are
used for condensing units. Extra sized
condensing units ensures that the unit work
comfortably in GCC conditions. Low
temperature units from 7.5HP to 40HP are
equipped with CIC(Controlled Injection
Cooling) and oil pressure differential control.
Dual High/Low pressure is also inbuild in the
unit.
Products
Evaporator Unit
Carrier evaporators provide a cost effective and
efficient solution for positive and negative
temperature applications.
Products

Rack System
Compressor rack systems are used in large
capacity refrigeration requirements. A number
of compressors connected parallel is one of the
best energy saving option. Full capacity can be
used only when we require it utmost and
compressors can be brought down to null
position when the capacity requirement is low.
The energy savings justifies the high initial
investments made on a rack.
Products

Display Chillers
Carrier Display Chillers are extensively used by
renowned Hypermarket chain. Linde and
Celsiour are the two brands of carrier.
Remotely placed refrigeration and direct plug
in self contained units are available in the
product range. Better merchandising power
will be main advantage of the carrier display
units.
Products

Display Freezers

Carrier Display Freezers are extensively used

by renowned Hypermarket chain. Linde and
Celsiour are the two brands of carrier.
Remotely placed refrigeration and direct
plug in self contained units are available in
the product range. Better merchandising
power will be main advantage of the carrier
display units.
Production Line
Production Process – Cold Room

After sales, service &

maintenance of
Importing Raw
Refrigeration units,
Materials
Duct ACs, Split ACs,
Window ACs etc.

Installation of
refrigeration units Preparation of
into the cold room insulated Panel
& Containers

Building of cold
rooms, 40ft/20ft
refrigerated
containers
Production Process - Transport Refrigeration

After sales, service &

maintenance of
Importing Raw
vehicles including
Materials
cabin AC services,
reefer unit services etc.

Supply & Installation

of refrigeration units
Preparation of
into the boxes and
insulated Panel
installing the same to
trucks & vans

Building of Boxes
with Insulated
panels
 SWOT Analysis

Strengths
Weaknesses
• Strong Financial Performance
• Good relationship with dealers
• Strong brand name
• Lack of Banking Facilities
• 70% Market Share
• After sales support.

SWOT
Opportunities Analysis
Threats

• The whole industry is restructuring • Instability in prices due to GCC Siege

• Building/construction boom in Qatar. • Soaring prices of materials
Porters Five Force Analysis
Threat of
New Entry Competitive Rivalry
Threat of New Entry
✓ Less amount of competition.
✓ Easy to enter market.
✓ Poor quality of competition.
✓ Economies of scale.
✓ Customer loyalty
✓ Good market in Qatar.
✓ Poor after sales.

Supplier Competitive Buyer

Power Rivalry Power

Supplier Power Buyer Power

✓ Low no. suppliers ✓ Quite good no. of buyer.
✓ Medium and huge enterprises. ✓ Small orders.
✓ Not many substitution ✓ More options of purchase
✓ Highly price sensitive.
Threat of Substitution ✓ Good ability to substitute.
✓ Not much substitution.
Threat of
Substitution
 Marketing Mix (4 P’s)

• Quality 1 2 • Inventory
• Brand name • Location (workshop)
• Product Variety • Transport
• Warranties

• Special offer • Use pre-existing

• Sales force market pricing
• Advertising • Penetration Pricing
• Free gifts 3 4 • Discounts
• Leaflets/ Posters • Credit terms
• Direct Mailing
Competitive Advantage

• Brand name
• Partnership with renowned brands like carrier, zepro and thermal Master
• Economies of scale
• Quality
Competitor Analysis
Major Competitors

1. Doha Sandwich Panel (DSP)

2. Mannai Trading
3. E2E Fleets
4. Al Mana Enterprises
 SWOT analysis of Competitors

COMPETITORS MAJOR STRENGTHS MAJOR WEAKNESSES OPPORTUNITY/

COUNTERMEASURE
Doha Sandwich Panel ( DSP) ✓ Box Production facility ✓ Small workshop ✓ Box panel production.
in Qatar, Dry box & ✓ Not professional ✓ Qatar Automobiles -
100mm. ✓ Poor after sales support. Mitsubishi ( Same Group ).
✓ 50mm panel ✓ New Sales Executives.
production for van ✓ After sales support to DSP
segment. customers.
✓ Flexibility in Pricing.
✓ Hwasung Chiller &
Freezer
✓ Metal box fabrication
✓ Getting major portion
business from
Automobiles
companies.
Mannai Trading ✓ Well knows group. ✓ Box distribution. ✓ After sales support to
✓ Worldwide brand ✓ Only one sales person. Thermoking customers.
Thermoking dealer. ✓ Not giving SPM. ✓ We can sell boxes to them.
✓ Selling gorica boxes. ✓ Slow after sales support.
✓ Best pricing for
Thermoking direct
orders.
✓ Good relation with QAC
& JAIDAH.
 SWOT analysis of Competitors

COMPETITORS MAJOR STRENGTHS MAJOR WEAKNESSES OPPORTUNITY/

COUNTERMEASURE

E2E FLEETS ✓ Cheap pricing. ✓ Box quality not good. ✓ Panel Production
✓ Panels production ✓ Refrigeration units from
facility in India. Mannai , DSP and Al
✓ Giving SPM to sales Mana.
consultants. ✓ Not profession.
✓ Small workshop.
✓ Less technicians.

Al Mana Enterprises ✓ Authorized dealers of ✓ After blockade no ✓ We can increase

Carrier Transicold. business. Thermal Master sales.
✓ Nissan dealer – Nissan ✓ Before blockade boxes ✓ We can increase Chiller
Chiller van segment from Dubai only, just van sales.
market leaders. started importing from ✓ We can purchase
✓ Well known group. Turkey. Carrier from BAM to
✓ Competitive price. ✓ Dealing only carrier satisfy their customers.
units.
Business Plan
Critical Success Factors
 Reaching company information to every potential customers.
 Provide quotes as per requirements.
 Polite and courteous service.
 Timely completion of projects.
 Monthly achievements of targets.
 Entering technological projects.
 Workshop setups.
 Dry box manufacturing.
 Service and repairs.
 Get into a service arrangement with some leading firms.
Market Segments

1. Hospitality
2. Food Retail (Restaurants & Food Courts)
3. Food Catering
4. Logistics (Warehouses with Cold Room)
5. Retail Supermarkets
6. Pharma & Healthcare
7. Dry Boxes
8. Refrigerated Boxes
9. Reefer Trucks
10. Maintenance
Hospitality

• Atleast 5 additional hotels are coming up in the

QATAR region in 2019 - 2021
• We forecast at least 2 cold rooms per hotel of an
average size of 4m x 4m. Cost of each room at
approx. QR 140,000.
• Total market potential:
2 x 5 x QR 40,000 i.e. QR 1,400,000
• AARC’s target @ 40% = QR 560,000
Food Retail (Restaurants & Food Courts)

• Expected number of new outlets for the current

year 2019: 20
• Each restaurant will have on an average 1 cold
room at 60,000 each.
• Total market potential: QR 3,800,000.
• AARC’s target @ 40 % = QR 1,520,000.
Food Catering

• We expect 5 catering companies to be added up

this year:
5 x 2 cold rooms of QR 60,000 = QR 600,000
• AARC’s target @ 40% = QR 240,000
Logistics

• We expect at least 5 major warehouse projects

with our scope of supply to include wall panels,
roof panels and cooling/refrigeration equipment.
• The estimated potential in each is about QR 1
million giving a total of QR 5 million.
• AARC’s target @ 40% = QR 2,000,000.
Retail Supermarkets (Large)

• Potential for cold rooms in large outlets based on 2

new outlets is 8 rooms 5m X 5m each costing QR
120,000 each is QR 1,920,000.
• Potential in 2 large outlets for open deck chillers,
display cabinets, etc. based on 20 nos in each at QR
30,000 per unit is QR 1,200,000.
• AARC’s Target – 30% = 936,000/-
Retail Supermarkets (Small)

• In the small supermarket areas, we expect 5 new

outlets with 2 cold rooms in each costing QR
40,000 per unit. This gives a total of QR 400,000.
• AARC’s target @ 40% = 160,000.
Pharma & Healthcare

• We expect at least 20 nos clinic level and pharmacy

distributor level cold rooms/cool barns of value QR
40,000 each.
• Total potential : QR 800,000.
• AARC’s target @ 40% = 320,000.
Dry Boxes

• Total market requirements is 100 dry boxes.

• Each box cost QR 22,000.
• Total market value = 2.2 M
• AARC’s Market Share @ 40% = 880,000.
• This equals = 4 boxes per month.
Refrigerated Boxes

• Total requirement of refrigerated boxes is 200 nos.

• Each dry box costs QR 86,000.
• Market potential = QR 17,200,000
• AARC’s market share can be 30 % = 5,160,000.
Reefer Units

• Total requirement is for 125 units – Van.

• Total requirement is for 200 units – Trucks.
• Each unit @ Approx. – QR 85,000/-
• Market potential = QR 27,625,000/-
• AARC’s requirement can be 20 % = 5,525,000.
Maintenance & Spares

• AC Maintenance – QR 100,000.
• Refrigeration Maintenance – QR 250,000.
• Supply of refrigeration and AC spare parts – QR
50,000.
• Facility management for commercial & Industrial
refrigeration & AC.
Financials
Income statement for last 03 years in QAR Millions

2016 2017 2018

Sales 43,406 42,360 24,284
Cost of Goods Sold 32,825 31,141 17,852
Gross Profit 10,581 11,219 6,432
Operating Expenses 5,231 5,616 3,220
Operating Profit 5,350 5,602 3,212
Finance Cost 158 106 42
Net Income 5,191 5,495 3,170
Enterprise Valuation 15,850