- Our positive results are built on the strong foundation we have got and our ability to adjust with the operational environment changes on both local and regional levels
- NIC has generated a net profit of KD 15.4 million and 19.3 fils per share in comparison with KD 3.8 million net profit and 4.7 fils per share achieved during the same period in 2021
- Our strategy is based on two important modules: diversification of income sources and risk reduction.
- The outstanding results achieved in the first quarter was supported by a balanced strategy that positively reacts to financial and economic indicators and achieves outstanding and sustainable financial returns
- In first quarter of this year, the company has led an IPO for Ali Al Ghanim and Sons Automotive in Kuwait as a primary coordinator and listing and investment advisor in Kuwait Stock Exchange’ Main Market
In a statement to the press, Mr. Hamad Al Ameeri, Chairman of National Investments Company has announced recording exceptional results for the first quarter of 2022, which is part of the ongoing successes and remarkable performance the company has accomplished in the past three and half decades, positioning it among the leading ones in Kuwait and the region.
The results also affirm NIC’s position as one of the largest investment companies in terms of revenue volume and profitability supported by positive results, its ability to overcome all crises and tough situations, in addition to its capability to maintain the interests of its customers efficiently, factors which led to achieving a net profit of KD 15.4 million and 19.3 fils per share in comparison with KD 3.8 million net profit and 4.7 fils per share achieved during the same period in 2021, which translates to 307% growth.
Al Ameeri also clarified that the positive results are built on the strong foundation the company has, the ability to adjust with the operational environment changes on both local and regional levels and the wise board of directors’ strategy which has been professionally applied by the executive management.
He also confirmed that the company’s strategy is based on two important modules which are the diversification of income sources and risk reduction. Al Ameeri also expressed his appreciation to the efforts undertaken by the executive management to fulfil objectives of the board of directors and achieve shareholders and customers goals.
Mr. Fahad Al Mukhaizim, CEO of The National Investments Company, said that the financial results achieved during the first quarter of this year were supported by a balanced strategy that interacts positively with financial and economic indicators and achieves outstanding and sustainable financial returns. Our team has also shown an outstanding performance and great ability to capture the available investment opportunities, which led to the impressive and distinctive growth in investment operations, and therefore to the success of the company, while achieving both shareholders and customers goals.
Al Mukhaizim has also highlighted that the company has achieved a 43.8% growth of its assets which is around KD 328.6 million, in comparison with KD 228.6 million achieved during the same period in 2021. As for total shareholders’ equity, it reached KD 251.3 million during the first quarter of this year, and managed assets amounted to approximately KD 1.3 billion compared to KD 1.05 billion during the same period last year.
Other comprehensive revenues during the first quarter of this year increased to KD 19.1 million compared to KD 3.2 million in the first quarter of 2021, which translated to 506% growth. In addition to the exceptional increase of 68.8% in fees, incentives, brokerage, and consulting to KD 2.5 million, compared to KD 1.5 million in the first quarter of 2021.
On the other hand, Al Mukhaizim also shed the light on the unique performance of the company’s investment funds, ‘Mawarid Fund’ for industrial and oil services has recorded a return of 18.95%, ‘Wataniya Investment Fund’ 14.06%, ‘Al Darij Investment Fund’ 12.54% and ‘Zajil Services and Communications Fund’ 10.01%.
With the cash distributions exceeding KD 11 million, we are considered the first fund manager of investment stocks on Kuwait Stock Exchange which distributes cash dividends after the global financial crisis, and achieves competitive current returns, which reflect the successful strategy the company is following while managing its funds, and its enthusiasm to achieve the best returns for the unit holders who gave their confidence in managing their funds.
It is worth mentioning that ‘Wataniya Investment Fund’ profits has witnessed 5% increase of the face value, at 50 fils per unit, in 2021 (with a current return of 5.5%), ‘Al Darij Investment Fund’ cash dividends were distributed at 3% of the face value, at 30 fils per unit, for the results of the second half of 2021 (with a current return of 6.2%), ‘Zajil Services and Communications Fund’ cash dividends were distributed at 5% of the face value, at 50 fils per unit, for the results of the second half of 2021 (with a current return of 4.5%).
Praising their efforts, Al Mukhaizim has emphasized on the achievements by Wealth Management department during the first quarter of 2022, where the team was able to achieve tangible results towards maximizing the company’s managed assets by expanding customers base, targeting unique investment opportunities and attracting new investors, particularly institutional ones, while maintaining the highest level of professionalism and providing the best innovative products that serve different customers’ needs at calculated risks.
Al-Mukhaizim has confirmed that National Investments Company has managed to attract number of investments, signed number of deals with leading institutions to provide advisory services, through the Banking Investment department team by investing in the infrastructure, credit, and information technology.
In the first quarter of this year, the company has led an IPO for Ali Al Ghanim and Sons Automotive in Kuwait as a primary coordinator and listing and investment advisor in Kuwait Stock Exchange’s Main Market. NIC has also offered consultancy services for a human resources company based in UAE, provided financial advice to number of businesses, which led to generating reasonable revenues. This is apart from the ongoing commitment towards the technology fund, blockchain fund, new healthcare project, three start-ups in the early stages, a special credit fund, and arranging for strong set of deals for the next quarter.
The Real Estate Investment department is now in the process of restructuring, attracting the best qualified candidates with distinct experience in managing real estate portfolios, and developing automated systems to raise customers satisfaction. The department has managed to achieve unprecedented occupancy rates at the level of all managed properties after overcoming the pandemic caused by COVID19 and returning to previous operational levels and now in the process of planning for the development and marketing of Wataniya Resort for the coming summer season.
Thanks to our shareholders for the continuous support, especially during challenging times, and for their loyalty and trust, we also appreciate the ongoing help of all the regulators. We can’t mention our success without mentioning our faithful and dedicated team who stand behind every single achievement, wishing our stakeholders all the best – added Al Mukhaizim