Boursa Kuwait increases its net profit by 15.08% to reach KD 18.18 million for 2024

23/02/2025 03:35 AST

In a meeting of its Board of Directors on Sunday, February 23, 2025, Boursa Kuwait announced that it has recorded a net profit of KD 18.18 million for the financial year ended December 31, 2024, a 15.08% increase from its 2023 total of KD 15.80 million. The company also recorded an operating revenue of KD 36.31 million over the same period, an increase of 18.36% over its KD 30.68 million total in 2023.

Meanwhile, operating profit for the 2024 financial year came in at KD 22.40 million, or an increase of 22.59% over the total of KD 18.27 million recorded in 2023, while the company's earnings per share increased 15.08% from 78.68 fils in 2023 to 90.55 fils for the financial year ended December 31, 2024.

Additionally, the Group's total assets came in at approximately KD 126.15 million as of December 31, 2024, which is a 6.11% increase versus the 2023 total of KD 118.89 million, while shareholders' equity attributable to equity holders of the parent company increased from KD 64.23 million as of December 31, 2023, to KD 67.55 million as of December 31, 2024, an increase of approximately 5.17%.

As a result, Boursa Kuwait's Board of Directors proposed the distribution of cash dividends of 82 fils per share for the financial year ended December 31, 2024, which is approximately 90.56% of the company's profit. The proposed cash dividend distribution is subject to approval by the Annual General Assembly.

Commenting on the results, Boursa Kuwait's Chairman Hamad Mishari Al-Humaidhi said: "Despite the geopolitical tensions and economic challenges of 2024, Boursa Kuwait remained resilient and adaptable, delivering a strong recovery that highlights its financial strength and the effectiveness of its strategy. The company recorded a net profit of KD 18.18 million for the fiscal year ended December 31, 2024, an increase of 15.08% from the 2023 net profit of KD 15.80 million and its highest on record. Guided by a clear vision and an ambitious strategy, Boursa Kuwait continues to strengthen its position as a leading regional exchange by enhancing market attractiveness for local and international investors, developing a robust infrastructure, and fostering a business environment aligned with global best practices."

Al-Humaidhi added, "This year marked a pivotal milestone in Boursa Kuwait's journey, as the company celebrated its tenth anniversary-a decade of transformative growth and remarkable achievements that have strengthened Kuwait's financial market as a cornerstone of the national economy. Since its inception, Boursa Kuwait has been steadfast in its commitment to transparency, efficiency, and sustainability, fostering a dynamic and attractive investment environment that meets the highest global standards. This first decade stands as a testament to our dedication to developing the capital markets sector and reinforcing its role as a key driver of economic growth."

The Chairman of Boursa Kuwait concluded his statement by expressing his profound gratitude to His Highness the Emir of Kuwait, Sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah, for his steadfast efforts in ensuring the stability and prosperity of Kuwait and its national economy.

He also extended his appreciation to his fellow Board members and the Executive Management team for their invaluable contributions in advancing the company's strategy, mission, and vision and recognized the dedication and hard work of Boursa Kuwait's employees, whose commitment has been instrumental in achieving the company's goals. Their collective efforts have strengthened the financial market and enhanced its liquidity and transparency while fostering an environment where issuers and investors can connect for promising investment opportunities and sustainable returns, positioning Kuwait's capital market as a regional leader.

In 2024, the Kuwaiti capital market demonstrated remarkable growth, with the volume of shares traded surging by approximately 73.08%, from 39.57 billion shares in 2023 to 68.48 billion shares, and the value traded rising by 42.85%, from KD 10.38 billion to KD 14.83 billion. Additionally, market capitalization reached KD 43.58 billion, marking an 8.24% increase from the 2023 total of KD 40.26 billion.

The "Premier" Market was a key driver of market activity, with approximately 29.31 billion shares traded, valued at KD 9.78 billion across 1.96 million transactions. It accounted for 65.93% of the total value traded and 42.79% of the total volume traded on Boursa Kuwait, while the "Main" Market played a significant role in enhancing overall market liquidity, with a market capitalization of KD 8.25 billion and 109 listed companies. It traded over 39.13 billion shares, valued at approximately KD 5.05 billion, across 1.95 million transactions. This accounted for 34.05% of the total value traded and 57.14% of the total volume traded in the Kuwaiti capital market, highlighting its crucial role in expanding investment opportunities and strengthening market depth.

Boursa Kuwait's Chief Executive Officer Mohammad Saud Al-Osaimi also commented on the company's results for the year, saying: "In 2024, the Kuwaiti capital market emerged as a standout performer, with key indices delivering strong returns, driven by robust trading momentum and rising market capitalization. The market was also able to secure a leading position among its counterparts in the Gulf Cooperation Council in terms of index growth and percentage increase in value traded, benefiting from a favorable macroeconomic environment thanks to the Central Bank of Kuwait's adoption of the monetary easing policy pursued by the United States Federal Reserve, leading the Central Bank to lower discount rates, which provided a stable fiscal backdrop and spurred increased market participation."

Throughout 2024, Boursa Kuwait continued its collaboration with Kuwait Clearing Company to enhance market infrastructure, building on the stress tests initiated during the previous year to ensure compliance with the Central Counterparty (CCP) system. As part of these efforts, the company worked to verify brokerage firms' ability to manage settlement operations in coordination with the Central Bank of Kuwait and the local banks, paving the way for their qualification under the CCP. Additionally, Boursa Kuwait plans to introduce exchange-traded funds (ETFs) and a corporate fixed-income trading platform-including bonds and sukuk-in alignment with the CCP framework.

Al-Osaimi added, "Boursa Kuwait was able to strengthen the Kuwaiti capital market's reputation as a trusted hub for global investment and foster a dynamic market ecosystem driven by innovation and sustainability by implementing a proactive strategy and maintaining an operational model aligned with internationally recognized best practices. Boursa Kuwait remains committed to developing the market and enhancing its infrastructure as part of its progressive vision of creating a more competitive and sustainable financial market that supports Kuwait's economic growth and reinforces long-term confidence among local and international investors."

Al-Osaimi concluded his statement by assuring Boursa Kuwait's stakeholders that the company is committed to expanding its product offerings, enhancing market efficiency, and improving accessibility, with a steadfast focus on transparency, governance, and liquidity. These core pillars are at the heart of the company's strategy, aimed at strengthening investor confidence, highlighting leading listed companies, and positioning Kuwait's capital market as a hub for innovation, sustainable growth, and regional leadership.

Kuwait Times