Al Mazaya posts KD 4.17 mln net profit for H1; EPS 6.7 fils

26/07/2017 06:20 AST

Al Mazaya Holding has announced its financial statements for H1 2017, posting KWD 4.17 million in net profits, against KWD 4.14 million for the same period in 2016. Earnings per share reached 6.70 fils in 2017 against 6.66 fils for the corresponding period in 2016.

Commenting on the financial statements, following the company's recent board meeting, Al Mazaya Group CEO Engineer Ibrahim Al Saq'abi said that Al Mazaya Holding has continued to boost its operating performance for the first half of 2017 thanks to an intensive focus on a robust operating plan based on well-integrated strategy and a strict time frame that boosted the company's total operating revenues by 22.02% to KWD 31.32 million by the end of the first half of this year against KWD 25.67 million for the same period last year.

Al Saq'abi attributed the significant growth in revenues to well-thought-out marketing and sales strategy that drove operating revenues up to KWD 27.52 million this year, showing a growth of 25.46% from KWD 21.93 million for the corresponding period last year, with rental revenues increasing 3.52% to KWD 3.73 million by the end of the first six months of 2017 against KWD 3.61 million for the same period in 2016. The company declared KWD 7.41 million operating profits for January to June period, showing around 22% period on period growth, generated by sales and rentals.

Elaborating on the financial revenues generated by the company's operations, Al Saq'abi said that the rental revenues were driven by increased rentals from Al Olia Tower, a project located in Riyadh, Saudi Arabia, which the company added to its income-generating streams recently. In this regard, the group chief executive also highlighted the company's success in securing high occupancy rates at its other projects, including Sky Gardens in Dubai International Financial Centre where the occupancy capacity hit 95%, and Al Mazaya Towers in the Kuwaiti capital (3 towers) where the occupancy rate recorded almost 100% along with the company's other projects executed in a number of other regional countries, such as KSA, and Dubai where the occupancy rate also surged to around 100% as well.

On a similar note, Al Saq'abi added that the company secured other sales in ready-for-sale properties, including office spaces at Al Mazaya Business Avenue in addition to selling and handing over a large number of residential units at its "Q-Point" and "Q-Line" developments and at Ritim Istanbul Development in Turkey.

Financial Statements

Al Saq'abi informed that the company has maintained progressive growth in its operating performance and significant net profits thanks to a well-calculated strategy based on smart objectives. The company's total assets reached KWD 242.13 million by the end of H1 against KWD 233.95 million for the same period last year, showing a growth of 3.50%. Stockholders' rights amounted to KWD 116.60 million by the end of H1 2017 from KWD 114.29 million over the same period in 2016, recording a growth of 2.02%.

Milestones Achieved in H1

* Completing up to 25% of the construction work at Al Mazaya Residence project which is due for handover in 2018 in the Al Seeb Province in the heart of the Omani capital. Construction work on the project's foundation and basement, which is spread over 6,614 square metres, has been completed. It will help to start the main upper construction work and external structure. A large-scale marketing campaign has been implemented by the company for the project and resulted in selling 30% of its units.

* Al Mazaya has completed the development of a world-class medical building to serve as an individual health clinic in Sabah Al Salem. The project has totally been rented out to leading doctors in Kuwait and its rental revenues are projected to be listed by the end of the 4th quarter of the current year.

* Al Mazaya Holding has been named among

Arab Times