Al Mazaya Holding Company is the result of an idea for investment taken to its logical conclusion. Thinking big, creating high value and earning, as well as growing and maintaining the trust of big-time investors in the Kuwaiti market and abroad, have been the hallmark of Al Mazaya. We provide a wide range of real estate products and services across the spectrum, from purchasing, apportionment and developing of large areas in select zones to offering ready-to-use residential and commercial spaces.
Al Mazaya Holding Co (K.S.C) a leading property firm in the region.
Rashid Yaqoub Al Nafisi
Ladies & Gentlemen, my warmest greetings to you all.
I welcome all the distinguished shareholders to this Annual General Meeting. Like every year, we have gathered here to jointly review what Al Mazaya Holding had achieved in terms of business development, operations and marketing campaigns in 2018. We will also analyse the financial results of 2018.
The year 2018 was an exceptional one by all means. Al Mazaya Holding successfully managed to cope up with the rapid market changes and multi-faceted geopolitical challenges last year.
Regional and international markets in general had been affected by the fast-changing socio-political developments. Almost all the sectors were hit, including real estate. Price corrections witnessed by the UAE markets, particularly Dubai, had a significant impact on the sector amid an oversupply of residential units of all types. Heated competition among real estate developers resulted in price fall, lower sales and slower collection of payments.
Global economic and geopolitical developments had their own bearings on the property market. The Turkish real estate market, for example, experienced a significant decline in economic activity. Several other markets in the region also faced negative developments and reduced sale prices due to various economic factors.
Tough economic landscape was about to affect the financial performance of Al Mazaya Holding at a time when the company was planning to develop new projects and tap fresh global markets to expand its business.
The changing economic scenario prompted us to revisit our expansion plans. We started devising alternative plans to reduce our vulnerability to the sea changes in the market conditions. We worked tirelessly to avoid the besetting market risks as much as possible.
Thanks to our executive teams, our constant monitoring and proper understanding of the market realities helped Al Mazaya continue its growth drive in terms of sales and operations as per our set goals and strategies, driven by the prestigious branding and distinguished status of the company in the global market.
In 2018, the company continued to report fair operational and financial results despite critical challenges that had been and are still impacting the world markets. Thanks to the directives of the Company's Board of Directors and the strenuous efforts made by the Executive Management and other team members, Al Mazaya Holding continued to prosper and grow. The company’s journey of excellence and track record of impressive achievements is helping it move ahead on the path of more accomplishments.
With these words, we are pleased to present you the annual report of your company – Al Mazaya Holding -- for the financial year that ended on 31st December 2018. We have compiled a detailed breakdown of the financial results and all the achievements made by Al Mazaya during the past fiscal year.
Al Mazaya's brand has become well known and highly touted across the Gulf real estate landscape. The company's reputation and track record of impressive achievements have made it popular and the most sought-after company in a number of Arab countries and Turkey. The great potential of the company helps it tap any real estate market in the world.
The company’s rich portfolio of real estate projects, which follow international criteria and best-in-class standards, along with its core values of transparency, accountability and disclosure, have ensured investor and customer confidence, with the completed projects of the company standing as a key factor behind the impressive successes made so far.
Al Mazaya has left impressive footprints across all the markets we are engaged in, thanks to the quality of its projects and community engagement, as well as its continuous marketing and promotional campaigns, all of which have strengthened the Company's presence, competitiveness and status.
Brothers & Sisters
Thanks to Allah Almighty, Al Mazaya Holding’s total net profit amounted to KWD5.1 million with earnings per share standing at 8.10 fils. Operating revenues generated by rental and sales returns stood at KWD22.06 million by the end of 2018 compared to KWD68.61 million by the end of 2017. Sales-generated revenues stood at KWD13.58 million against KWD60.83 million in 2017. In the meantime, revenues generated by rental returns jumped 10 per cent to KWD8.38 million from KWD7.60 million during the corresponding period of 2017.
Al Mazaya Holding’s total assets stood at KWD225.62 million by the end of 2018, against KWD 234.21 million in 2017, with stockholders’ rights valued at KWD104.12 million by the end of the foregoing year against KWD119.11 million in 2017.
In accordance with the Corporate Governance Rules, Al Mazaya Holding Board of Directors acknowledges and guarantees the integrity and authenticity of the company's financial statements along with all the reports submitted to Shareholders that include the company's financial profile, data and operating results.
Last year witnessed a series of milestones that we’d like to share with you with regards to our investments and the projects that we have developed and operational now.
Al Mazaya Residence Al Mawaleh's Phases I & II in Oman have been fully completed. Its householders' association has been established and registered with the competent authorities in the Sultanate. Ownership has been transferred and a number of apartments have been handed over to their new owners.
Al Mazaya has made significant progress in signing new investment contracts for managing its third project at the medical sector, “Mazaya Clinic III” in Bneid Al Qar area where 70% occupancy has been achieved.
With regards to on-going projects, the construction licence for Al Mazaya’s new project in Al Sharq area in Kuwait (Mazaya Downtown) has been obtained and construction work will start.
In the same time, up to 200 apartments have been sold by the company in its middle-income residential projects in Q-Point and Q-Line developments in Liwan area in Dubai, with long strides having been taken with regards to the Q-Zone project which consists of 504 apartments.
During 2018, the company continued selling and renting of Ritim Istanbul Development, which consists of 6 residential towers and a shopping mall.
In addition, new credit facilities have been secured from local and Gulf banks to develop new projects.
Another year of challenges and achievements for Al Mazaya Holding has come to an end. Thanks to your support, we have been able to come up with new accomplishments. We hope that this support and confidence will continue to guide the company towards a brighter future.
In conclusion, I would like to extend my sincere thanks and gratitude to all of you for your support as well as my appreciation to all those who’ve contributed to the company's prestigious status and remarkable achievements.
Many thanks to all our Board members, and our colleagues in Al Mazaya Holding!
May God's peace, mercy and blessings be upon you all!
Rashid Al Nafisi