GoDubai
  
  
  
  
Citylife > Press Release
  Home Contact us Add to Favourites
Most Recent Postings
More Press Releses
Featured Sections

Event Finder
A daily roundup of exhibitions, promotions and other events in Dubai and the rest of the Emirates.
Submit an Event
Latest Dubai Press Releases >> Banking and Investments

 
  Share
 

FY 2017

(Million KD)

FY 2016 

(Million KD)    

Var (%)

   Q4 2017

(Million KD)

Q4 2016

(Million KD)

Var (%)
Operating Revenue       38.5 33.9  +13.6% 16.6  13.4 23.8%
Gross Profit 12.1  13.9  (13.4%) 1.5 3.3  (53.4%)
EBITDA 13.9 19.6 (29.2%) (1.4)   6.1  (123.1%)
Net Profit 10.6 16.1   (34.3%)  (2.0)  5.0  (139.7%)
EPS (fils)  11.3  17.2  --  --  --  -- 
Figures in the table above have been rounded 
 
Kuwait, March 13, 2018 -   National Real Estate Company (NREC), a leading regional asset manager and developer headquartered in Kuwait with USD2 billion in projects under development in the UAE, Egypt and other markets, today released its financial results for 2017.
 
The Company recorded an operating revenue of KD38.5 million, an EBITDA of KD13.9 million and a net profit of KD10.6 million. NREC's core operational activity continues to grow, however the decrease in the EBITDA and Net Profit for the year is mainly attributed to a fair valuation write down taken on BOT projects nearing their expiry within NREC's portfolio.
 
Board of Directors Recommendation
 
The Board of Directors has recommended a dividend distribution of 10% of bonus shares, subject to approval of the General Assembly of Shareholders.
 
2017 Business Review
 
NREC Vice Chairman Faisal Sultan said, “2017 was a very active year on many fronts. Operationally, our rental business in Kuwait and Jordan continued to perform, our Libyan business has improved with the improving of security situation in the country, and the Kuwait market presented new business opportunities that we are actively pursuing. Current developments continued to progress as well. We have crossed important milestones in our two largest projects, Grand Heights in Egypt and Reem Mall in UAE. Both projects are progressing well and in line with expectations. Our balance sheet was also an area of constant focus.
 
In 2017 we worked on strengthening our balance sheet, with good results to date, looking forward 2018 will be a year where NREC continues to focus on asset repositioning and debt reduction, with a stated objective of reducing leverage to below KD 100 Million.  This objective along with the execution of our ongoing projects, is an essential first step towards restoring regular cash dividend payments to shareholders”.
 
2017 Business Highlights
  1. In Kuwait, NREC was selected as one of 5 pre-qualified local companies by the Kuwait Authority for Partnership Projects (KAPP) to bid on the South Jahra Labor City and NREC expect further nominations during 2018. KAPP is the authority in charge of leading the country's Public Private Partnership (PPP) projects.
  2. Reem Mall's progress crossed important milestones. Al Farwaniya Property Developments, a partnership between Agility, Agility affiliate United Projects for Aviation Services Company (UPAC), and National Real Estate Company (NREC), signed an agreement for a $457 million senior credit facility with a syndication of four local and international banks: ADCB, Standard Chartered, Noor Bank and Gulf Bank Kuwait. In parallel, a $620 million construction contract was signed with Itinera Ghantoot, a UAE-Italy joint venture, who will serve as the lead contractor on the $1.2 billion project. The 32-month construction program commenced in the fall.
  3. At the Grand Heights residential community in Egypt, NREC has sold 995 units and plots, of which 460 were delivered as of December 31 2017, with a total cumulative sales value (delivered and to be delivered) of EGP 3.4 billion.
  4. NREC's JV in Libya, Palm City Residences had a positive year reporting operating profits of 3.3 million euro with occupancy rate rising from 8% to 24%. The project continues to be the best choice for multinational companies and government agencies participating in the recovery of Libya.
2017 Balance Sheet Highlights
  1. Strengthened NREC's capital and shareholder base with the successful placement of the convertible KD 31 million financing from Agility Logistics Company which is in the process of being converted to equity.
  2. Bank dues were reduced from KD 161.7 million to KD 149.4 million.



Posted by : GoDubai Editorial Team
Viewed 5575 times
Posted on : Tuesday, March 13, 2018  
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of GoDubai.com.
Previous Story : Mashreq Bank honored twice at EMEA Finance Middle East Banking Awards
Next Story : Mashreq to participate in Careers UAE for the 18th consecutive year
Email this article Print this article

Share this article with your friends and followers
NewsVine

Comments

Back to Top  
Most Viewed Press Release posted in the last 7 days
Timeless Ties
COLAB - Dry Shampoo
ORANGE & BERGAMOT Awaken the Cult Icon New Additions
The Perfect Gift Mark
FOREO delivers the ultimate festival survival kit for a glow-on-the-go.
New XE 300 Sport Edition Wins Gripping Ice Race
Get Vibrant and lively hair with Rahua's new Color Full Range
Enhance skin radiance, smoothness and brightness in just 14 days, with the new J...
Summertime Beauty Picks at Glambeaute.com
Samsung launches Exciting Smartphone Trade-In Program with Galaxy S9 or S9+
Filorga Mesotherapist Derma Roller
du to Offer New 9.7-inch iPad With Apple Pencil Support
Skyline University College Economics Day 2018: One Step towards Tomorrow
Penny Scallan Design Launches in the Middle East
Dubai Sports Council Pavilion a big hit at Bangkok SportAccord
New Blow Out Bar and Make-Up Studio SWISH by Immaclife Opens in Abu Dhabi in Apr...
Dubai-based Al Kasir Group launches three Crypto assets backed by diamonds
A Royal Ramadan Experience by Master Chef Mama in Pullman Dubai Creek City Centre
Pandora Shine Discover A New Way to Shine
Rolling Cones, a new luxury ice cream concept, launches at the Hyatt Regency Dub...
MINI at Auto China Beijing 2018
The new BMW M2 Competition
Palladio Beauty - a Professional Line of Botanical & Vitamin-Infused Cosmetics
Stylish Nursing wear at Mums and Bumps
Mumzworld Announce Recruitment Drive To Empower Women in the Middle East
Gifts for Ramadan at Hour Choice
Abu Dhabi Ship Building Company Launches Two 64-Meter Landing Ships for the Kuwa...
Toshiba Releases New, Powerful Surveillance and Video Streaming Internal Consume...
Exclusive, Limited‐Edition, Swiss‐Made Cryptocurrency Watches
Sheikh Sultan bin Ahmed Al Qasimi Leads Sharjah Contingent to Kuwait Arab Media Forum
10 Kg gold for 100 winners at Malabar Gold & Diamonds
Olivia Burton Marble Florals - Embrace these styles for a new artistic way to wo...
Genesis G70 Luxury Sedan Arrives in Middle East
Spring/Summer 18 Collection
Mido Ramadan Watch Collection
Understanding what women want Balmain reveals the Madrigal Mini II
Pandora Spring Embrace Nature's Beauty
Etihad Aviation Group Launches Four Initiatives To Commemorate The Year Of Zayed
The Beautiful Britain 2018
Adamavi - Elegant, Timeles S, and Reliable
Airport Show Attracts Influential Aviation Leaders for Global Airport Leaders Fo...
Pinky Goat Launches BROWME
Huawei Brings the Most Coveted Smartphone - HUAWEI P20 Pro to the UAE
April Marks Autism Awareness Month at Nursery Chain
Tommy Fleetwood joins OMEGA's line-up of golfing greats
Get ready for an exciting Ramadan at Danat Al Ain Resort
Mido Multifort Datometer Limited Edition - A piece of history on your wrist
Hamdan Bin Mohammed Heritage Center Participates at Abu Dhabi International Book Fair
OPPO unleashes the new Selfie Expert F7 with a 25 MP AI powered selfie camera
Ashridge to help Saudi leaders explore and implement strategies for growth