Ladies and Gentlemen,
My warmest greetings to you all…
I am so pleased to welcome you all at our annual gathering to extend our thanks and appreciation for your continued support, which is always the starting point for all our choices and achievements. Every year we meet together to review the performance of the past year and identify the key achievements of the last year, which would not have been made but for your confidence in Al Mazaya’s immense potential to continue to progress and thrive. The year 2019 witnessed immense difficulties and challenges in the markets in which Al Mazaya is operating, including Dubai and Turkey, which had their own bearing on the company’s liquidity position. Such headwinds necessitated the development of a rapid and decisive action plan to secure sufficient liquidity to fulfil all the company's financial obligations for banks and contractors and maintain the company's loan repayment plan.
Today, we are determined as always to establish a solid basis that can uphold our future aspirations through an integrated strategic vision aimed at promoting and diversifying our investments within new sectors and markets. This strategic vision is aimed at ensuring progress, prosperity and steady growth, and is driven by recognized administrative and operational standards based on transparency, credibility and sustainability.
Dear Brothers and Sisters
Last year, we had spared no effort to avoid and overcome all the challenges, changes and repercussions the region’s markets went through, by adopting a number of alternative strategies and plans by utilizing more innovative tools and vehicles, through which we had been able to reach a safer and more stable financial position. We managed to reduce our risk exposure by means of disassociation and leaving troubled markets, selling our real estate assets, completing under-execution projects and fulfilling our financial obligations for contractors.
Therefore, we can safely say that we’ve managed to achieve good operating revenues despite the surrounding challenging circumstances, which necessitated groundbreaking decisions based on the directives of the company’s board of directors, and the efforts of the executive management and specialized teams. We are determined as ever to continue to grow the company's revenues from its fixed income–generating streams in order to optimize performance on the markets where we are operating.
We have been able to maintain our increasing operating lease revenue by securing high occupancy rates at the company’s income-generating projects and increasing direct and indirect revenues to maintain our highly acclaimed business model, which is based on geographical diversification and diversified investment returns.
Dear Brothers and Sisters
The company worked hard to maximize benefit from its healthcare projects by ensuring optimum utilization of available revenue-generating opportunities. Therefore, we launched new low budget projects such as “Mazaya 4" and "Mazaya 5", which are complimentary to Al Mazaya's ventures into the medical sector, and which can earn the company significant amount of returns. Within this context, it gives me great pleasure to present you the company's achievements in 2019:
• The company has rescheduled its financial obligations for banks by changing them from short to long-term loans.
• The company succeeded in fulfilling all its financial obligations towards all contractors and suppliers by paying all predefined instalments and Murabaha values. The company sold 110 apartments in its Q-Point and Q-Line projects in Dubai.
• The company sold 60% of the Mazaya Residence in Muscat, which consists of 148 residential and commercial units and leased over 50% of its second phase, comprised of 132 residential and commercial units.
• Al Mazaya achieved a 100% occupancy rate in its third project in the medical sector: “Mazaya Clinic III” in Bneid Al Qar, which consists of 25 floors on an area of approximately 4,000 square meters after concluding investment contracts with doctors. The company started operating the building, which is now ready to receive contracting doctors and auditors.
• Al Mazaya continues to sell and rent the rest of its "Ritim Istanbul” project’s units in Turkey, which is composed of six residential towers and a shopping mall, of which 50 apartments were sold, and 60% Distinguished Shareholders, While looking forward to meeting with you in the coming year Inshallah with more achievements, I reiterate my thanks for your trust, promising you that we will continue working to protect the assets of Al Mazaya Holding and preserve the rights of our noble shareholders while relentlessly endeavoring to achieve our Group’s vision based on creativity in providing distinctive products to achieve the goals and aspirations of our valued shareholders and customers.
Peace, mercy and blessings of God be upon you all.