KIPCO records a net profit of KD 45.5 m
KUWAIT: KIPCO - the Kuwait Projects Company (Holding) - has announced a net profit of KD 45.5 million ($ 148.7million), or 28.62fils ($ 9.35cents) per share, for the year ended 31 December 2016, compared to KD 51.2 million ($167.3 million), or 32.73 fils ($ 10.7cents). This makes 2016 KIPCO’s twentyfifth year of consecutive profitability. KIPCO’s Board of Directors is recommending a cash dividend of 25 per cent (25fils per share), subject to approval by the company’s General Assembly and regulatory authorities.
In 2016, total revenue from operations increased6.6 per cent to KD 661 million ($ 2.2 billion), compared to KD 620 million ($ 2billion) reported in 2015. Consolidated assets increased in 2016 to KD 10 billion ($ 32.7 billion) from KD 9.6 billion ($ 31.4 billion) in 2015. Faisal Al Ayyar, KIPCO’s Vice Chairman (Executive), said the company’s results were in line with expectations for a challenging 2016: “Thanks to our sound operations and strong financial position, we were able to weather through what we predicted would be a difficult year, and made 2016 our twentyfifth consecutive year of profitability.
Our core operations - including banking, media, real estate and insurance - continue to show growth despite the global economic slowdown, the regional tensions and currency devaluation in some of the markets in which we operate, and economic reform measures at home. Burgan Bank’s profitability remains strong, and our insurance company, GIG, has expanded its network. Our pay-TV company, OSN, has continued to widen its customer base despite increasing market competition, thanks to its focus on offering the best exclusive content in the region. While we look to 2017 with caution, we remain confident that the practices we have in place will enable our businesses to continue to grow.”