National Investments Company posts 70.54% growth in H12019

August 06, 2019

Al-Ameeri

• KD 2 million net profit or 11.58 fils earning per share
• We aim to boost profits and revenues and diversify sources of income with a conservative policy.

Al-Mukhaizim

• Steadily and financially stable, we move forward and continue to achieve further good results.
• A big leap in comprehensive income of 5% under a successful strategy.
• NIC has a diversified plan based on a solid and firm base.

National Investments Company (NIC) announced net profits of KD 9.238 million, or 11.58 Fils earning per share, an increase of 70.54% during the first half of 2019 compared to KD 5.417 million and 6.77 Fils earning per share for year-ago period.

The Companys assets recorded a growth amounting to KD 1.065 billion, an increase of 1.86% compared to KD 1.045 billion for the same period in 2018.

Mr. Hamad Ahmad Al-Ameeri, NIC Chairman said “These positive financial results were achieved in light of implementation of the Companys strategy that basically aims at enhancing profits and operating revenues and diversifying sources of income under a conservative policy that ensures achieving the highest returns to shareholders with minimum risks, in addition to the support and confidence of our customer in the products and services NIC offers.

Al-Ameeri said, “Despite the challenges in various markets, NIC managed to pursue its endeavors to develop its services and focus on qualitative deliberated risks and returns opportunities, and acquires promising income-generating investments to maintain its competitive position in the market”

Al-Ameeri affirmed his great confidence in the Companys Executive Management that spares no efforts to implement the directives and aspirations of the BoD, and meet shareholders aspirations by maintaining the Companys leading role as one of the historically biggest market makers and prominent players in the assets management sector.

Mr. Fahad Abdulrahman Al-Mukhaizim, Chief Executive Officer of the Company said “The positive financial results for H1 2019 were achieved amid good preparations, sound planning and tireless efforts.”

Al-Mukhaizim added “NIC adopts a diversification-based investment plan helps it to move steadily and financially stable, which enables it to continue to achieve further good results in the future”.

Al-Mukhaizim pointed out that the total shareholders equity of the parent Company increased by 4.70% to KD 181.794 million compared to KD 173.638 million at the end of H1 2018.

He affirmed that the outstanding operating performance of all operational and investment activities under NIC umbrella reflected in a growth in total comprehensive income of 67.51%, increasing from KD 6.338 million in H1 2018 to KD 10.617 million in H1 2019.

In the same context, he pointed out that Al Wataniya Investment Fund ranked top of local investment funds in terms of performance during this period, achieving a record return of 15.42% YTD, outperforming the All-Share Market Index return which did not exceed 14.2% as of 30 June 2019.

Al-Mukhaizim added that the total revenues recorded an increase of 37.89% amounting to KD 13.279 million at the end of H1 2019 compared to KD 9.630 million for the same period in 2018. The total expenses decreased by 10.86% to KD 3.168 million compared to KD 3,554 million at the end of H1 2018, reflecting the Companys conservative policy aiming at achieving the best returns for shareholders.

He added that the Companys total assets reached KD 207.372 million at the end of H1 2019 compared to KD 193.201 million for the same period in 2018, an increase of 7.33%.

Al-Mukhaizim said, “These positive results and good financial indicators confirm the solid financial position of the Company and its ability to cope with the fluctuations of the difficult operating environment locally and regionally, and are considered a clear evidence of the successful prudent policy based on the balance between expenses and revenues in execution of the principle of transparency adopted and established by the Board of Directors in all the companys operations.”

Al-Mukhaizim stressed the determination of the Executive Management to continue its vigorous efforts to enhance the performance of funds and investment portfolios to outperform their benchmark returns.

In the same context, Al-Mukhaizim stated that NIC relies on a solid and firm financial base under the diversification strategy it adopts, confirming that NIC continues to pursue its tireless and earnest efforts to capture good investment opportunities that meet its aspirations, and income-generating assets in order to keep on enhancing performance in the future and maintaining the Companys position and strengthening its leading role locally and regionally, in a manner that serves the interests of customers and shareholders alike.

Al- Mukhaizim extended his thanks and gratitude to the Board of Directors, top management and all employees, appreciating their continuous support and efforts to achieve this positive performance and growth that is in consistent with the Companys strategic plan