Kipco posts 34pc revenue growth in 2013
Kuwait, April 1, 2014
Kipco, the largest investment company in Kuwait by assets, has reported a 34 per cent growth in its revenue for 2013 which rose to KD553 million ($1.96 billion) from KD414 million.
The announcement was made at the company’s annual Shafafiyah (transparency) Investors’ Forum where Kipco presented a review of 2013 and guidance for 2014 to an audience of shareholders, financial analysts and institutional investors.
The forum followed the company’s General Assembly meeting where Kipco shareholders approved a cash dividend of 20 per cent (20 fils per share) and a stock dividend of 5 per cent.
Kipco pointed out that 2013 had been its 22nd consecutive year of profitability. The company's profitability grew 27 per cent from KD32 million to KD40 million in 2013.
Speaking at the annual Investors’ forum, Kipco vice chairman Faisal Al Ayyar said its core companies would continue to deliver double digit revenue growth in 2014 as well.
"We expect Burgan Bank to continue to grow its assets by 10 per cent and increase its operating profit by 15 per cent in the period 2013-2016. OSN will continue its impressive growth in revenue, ebitda, net profit and cash flow, and is expected to double its revenue in the next three years with industry-leading ebitda margins and profits.
Kipco said Gulf Insurance Group will further its regional expansion with entry into the Algerian market through the acquisition of a 49 per cent stake in Algeria Insurance, and is expected to double its gross premium written to $1 billion in the next five years.
Commenting on the outlook for 2014, Al Ayyar said: "We enter 2014 with profitable and growing businesses across the sectors in which we operate. We expect to continue to deliver double digit revenue and profit growth in the next three years."
"Indicators point to gradual local and regional economic recovery, and our companies are poised to benefit from this improvement in their respective markets and to continue to be profitable and dividend paying in 2014," he added.
One of the biggest holding companies in the Mena region with consolidated assets of $30.5 billion as at 31 December, 2013, kipco has significant ownership interests in over 60 companies operating across 24 countries.
The group’s main business sectors are financial services, media, real estate and manufacturing.-TradeArabia News Service