Press Release

 

	30-Sep-13 (Million Kuwaiti Dinars)	30-Sep-14 (Million Kuwaiti Dinars)
% increase in the operational revenues from leasing	2.850	3.883
8.1 % increase in the company’s total assets	216.438	233.867
15.2% increase in the shareholders’ equity	90.815	104.642
585% increase in the company’s net profit attributable to equity holders of the parent company	0.827	5.662
587 % increase in the share profitability	1.33 fils	9.14 fils

 

Al Mazaya Holding Company has announced its financial results for the first nine months of the year 2014, after a Board of Directors meeting held on Tuesday, October 21, in the presence of Chairman of the Board of Directors Rashid Jacob Al Nafisi, the Board members and CEO .

On this occasion, Eng. Ibrahim Abdulrahman Al Saq’abi, CEO of Al Mazaya Holding Company, said that Al Mazaya Holding had continued throughout the first nine months of 2014 to achieve excellent positive progress in its financial results. The company recorded net profits of KD 5.662 million over the period, compared to KD 0.827 million over the same period in 2013, and profitability of 9.14 fils per share, compared to 1.33 fils for the same period in 2013. This was achieved by virtue of its focus on operational activities as it increased the occupancy rate in its income-generating projects, which led to an increase in the rental revenues of the company by 36.2 percent, valued at KD 3.883 million by the end of the third quarter of 2014, compared to KD 2.850 thousand for the same period in 2013. This included the Sky Gardens Project in Dubai International Financial Centre, in which the occupancy rate reached 99 percent, and Al-Mazaya Towers at the heart of the Kuwaiti capital, with an occupancy rate of 100 percent, in addition to its projects in a number of the region’s countries such as the KSA and the UAE, in which the occupancy rates of the company’s projects reached 100 percent. The company also succeeded in achieving an increase in its operational revenues resulting from managing others’ projects.

Al-Saq’abi stressed that Al- Mazaya was able to achieve good revenues from the sale of the last residential villas in “The Villa” project in Dubai Land, which are currently being delivered to clients, and the Office Spaces Project in “Mazaya Business Avenue, with revenues from sale properties amounting to KD 10.889 million, and total operating revenues amounting to KD 15.299 million as on September 30, 2014.

Financial results

Speaking about the company’s financial results over the first nine months of 2014, Al- Saq’abi said that the company was able to maintain steady growth in its operational performance and net profit, in line with its carefully plotted smart objectives. Reviewing the rest of the company’s financial statements for the past nine months, he pointed out that the company’s total assets amounted to KD 233.867 million, compared to KD 216.438 million during the same period in 2013. The shareholders’ equity added up to KD 104.642 million by the end of the third quarter of 2014, compared to KD 99.815 million for the same period in 2013, which represents a 15.2 percent rise.

Nine Months Achievements

Speaking about Al-Mazaya’s major achievements during the first nine months of 2014, Al-Saqabi said that:

• The company has pushed up the timetable for development of Al-Mazaya Logistics in Bahrain – a group of industrial units for rent in Bahrain Investment Warf, worth more than KD 6 million – in order to speed up the operating-leasing operations, which will have a positive impact on the company’s revenues at the end of 2014. It also achieved positive results to implement the “Queue-Point” Project in Dubai Land, consisting of 25 building currently under development, as the company delivered numerous residential units in the project.
• Al Mazaya acquired a new land in the “Sabah Al Salem” area in Kuwait, which spans 2000 square meters over a strategic location, in order to build a sophisticated medical center in line with the “Clover” Medical Project in Jabriyyah.
• Al Mazaya designed a new residential project on its own land in Al Mawaalih (Seeb District) in Muscat, an area of ​​23,193 square meters, which is intended to be tendered to the contractors to start the development process.
• Al Mazaya designed four new buildings in the Emirate of Dubai (Dubai Land). The project is expected to be completely implemented by the end of 2017.
• Al Mazaya participated in the largest real estate event in the Middle East (Cityscape-Dubai), confirming its continued presence among the region’s major real estate companies, after having put forward a number of projects for sale and lease.
• Al Mazaya announced its entry into the Turkish Real Estate Market, by establishing a Turkish company, ‘Mazaya Turkey Real Estate Investment’ and appointing a CEO, in a promising step to geographically expand and benefit from the promising investment opportunities in the new market.
• Al Mazaya signed an alliance agreement with Domankaya Real Estate Company – one of the giant real estate development companies in Istanbul – whereby Al Mazaya develops joint ventures, taking advantage of the experience of the Turkish company and its position in the Turkish real estate market.
• Al-Mazaya had broadened its relations with many banks and investors in order to enter into strategic partnerships for the development of its new projects in the Gulf region and the Middle East. It has also prepared extensive studies for the local, Gulf and regional markets, as a preliminary step to engage in the sectors that will achieve the required returns with a limited risk rate, benefitting from the company’s previous experience and the current market factors.

Al-Saqabi concluded that Al-Mazaya still has numerous investment opportunities under consideration, which are going to see light in the near future according to the company’s strategic plan.