KUWAIT: The National Investments Company (NIC) has approved the financial results for the first quarter of 2022. The company achieved a net profit of KD 15.4 million at 19.3 fils per share attributable to the shareholders of the parent company in the first quarter of 2022, compared to a net profit of KD 3.8 million, with earnings per share estimated at 4.7 fils per share, for the corresponding period in 2021.
- Distinctive results in 1st quarter of the current year supported by a balanced strategy that positively interacts with the financial and economic indicators and achieves distinguished and sustainable financial returns.
- During the 1st quarter of the current year, the company began to lead, as a main coordinator, listing and investment advisor in the main market of Kuwait Stock Exhanage, the private subscription of Ali Al-Ghanim Sons Automotive Company K.S.C.C inside Kuwait.
In a press release, Fahad Al-Mukhaizeem, CEO of NIC, said that the financial results during the 1st quarter of the current year were supported by a balanced strategy that positively interacts with financial and economic indicators and achieves distinctive and sustainable financial returns. This reflected the superior performance of the work team in seizing the available investment opportunities. Therefore, it resulted in an impressive and distinctive growth in the operating investment operations, which led to the company’s success and achievement of the aspirations of shareholders and customers.
Al-Mukhaizeem stated that NIC recorded a growth in the company’s total assets by 43.8 percent, approximately KD 328.6 million, compared to the same period in 2021, which amounted to KD 228.6 million. As for the total shareholders’ equity, it is amounted to KD 251.3 million during the 1st quarter of the current year. Further, the assets under management amounted to approximately KD 1.3 billion, compared to the same period of last year, which amounted to KD 1.05 billion.
Other comprehensive income also increased during the 1st quarter of the current year to be KD 19.1 million, compared to KD 3.2 million during the 1stquarter of last year 2021, an increase of 506 percent.
Al-Mukhaizeem also disclosed the remarkable increase of 68.8 percent in fees, incentives, brokerage and consulting, to be KD 2.5 million, compared to the same period in the 1st quarter of 2021, which amounted to KD 1.5 million.
On the other hand, Al-Mukhaizeem announced the distinguished performance achieved by the company’s investment funds during the 1st quarter of the current year. Mawared Fund for Industry and Oil Services recorded a return of 18.95 percent, Wataniya Investment Fund 14.06 percent, Al-Darij Investment Fund 12.54 percent, and then Zajil Fund for Services and Communications 10.01 percent.
With these cash dividends that exceeded KD 11 million, we are the first company, among investment equity fund’s managers listed in Boursa Kuwait, who distributing cash dividends after the global crisis, and for achieving competitive current returns, to reflect the successful strategic step taken by the company in managing its funds, as well as the company’s awareness to achieve the best returns for unit holders who have given them the confidence to manage their money. Cash dividends were distributed to the company’s funds. The profits of Wataniya Investment Fund were 5 percent of the nominal value, at 50 fils per unit for the results of the year 2021 (with a current return of 5.5 percent).For Al-Darij investment fund, a cash dividend of 3 percent of the nominal value was distributed, at 30 fils per unit, for the results of the second half of 2021 (with a current return of 6.2 percent). Further, distributing cash dividends to Zajil Services and Communications Fund at 5 percent of the nominal value, at 50 fils per unit, for the results of the second half of 2021 (with a current return of 4.5 percent).
Al-Mukhaizeem also explained that the performance of the wealth sector’s team was positive during the first quarter of 2022. The team was able to achieve tangible results towards maximizing the company’s assets under management by expanding the customer base and obtaining capital targeting unique investment opportunities. Efforts were focused towards reaching new segments of investors, especially the institutional ones, through professional asset management and various investments that are depend on the principle of innovative products suitable for different segments of clients and with calculated risks, with the company’s emphasis on practicing it with high accuracy and professionalism.
Al-Mukhaizeem stressed that the NIC attracted distinguished investments, as well as a number of advisory contracts with major institutions, through the success of the investment banking sector’s team for investing in the infrastructure, credit and information technology sectors. In the 1st quarter of the current year, the team began executing a robust set of operations, including leading the private subscription, as the main coordinator and advisor for listing and investment in the main market of the Kuwait Stock Exchange, of Ali Alghanim Sons Automotive K.S.C.C in Kuwait and preparing for another subscription and listing process, as well as many public and private operations, including advisory services provided for Human Resources Company based in the United Arab Emirates. Further, the sector has signed contracts with a number of clients for providing financial advisory services that let to achieving distinct fees, as well as the commitment in the technology fund, the blockchain fund, a new healthcare project, three early-stage start-ups, a private credit fund, contracting with strong deals for the next quarter.
For the performance of the real estate investment sector in the company, Al-Mukhaizeem referred to the process of restructuring the sector and strengthening it with a group of experienced competencies in managing real estate portfolios, in addition to working on developing automated systems to raise the percentage of customer satisfaction in the sector. Recently, the sector succeeded in achieving unappalling occupancy rate after overcoming the Corona crisis and returning to previous operating levels. Further,we have ambitious plans for the development and marketing of National Park chalets for the upcoming summer season.
In conclusion, Al-Mukhaizeem thanked all the shareholders for their support and assistance during the exceptional circumstances. Al-Mukhaizeem also thanked the clients for their constant loyalty, trust and interaction with the new services provided by NIC that are appropriate to their aspirations and needs. He expressed his thanks and appreciation to the regulatory authorities and praised the efforts of the company’s employees for their efforts in achieving this distinctive performance and positive growth, with an emphasis on continuing the ideal approach to the company’s vision and strategy in continuing to serve the customers based on the systematic work components, wishing continued cooperation and success for everyone.