KUWAIT CITY,  March 11: Al-Tijaria Chairman and Managing Director, Abdulfattah Marafie, stated that the realized business results of Al-Tijaria Real Estate Company for the financial year ended 31.12.2012 have achieved net profits of KD 10,935,431 (ten millions nine hundred thirty five thousand and four hundred thirty one Kuwaiti dinars only); i.e. an increase of 3.9 percent compared to last year, with earnings per share amounting to 6.37 Fills/share, equal to 6 percent. These profits have caused uplifting the financial indices ratios of 2012 compared to 2011, as the return per share reached 4.4 percent, i.e. an increase of 4.8 percent. The total accumulated profits to total assets amounted to 3.2 percent, revealing an increase of 18.5 percent. The return on the paid-up capital of the company has grown to reach 6 percent; an increase of 5.3 percent.

Solvency
Following the same methodology and strategy based on reducing debts and liabilities and supporting self-finance, the company has succeeded in reducing its total liabilities with an amount of KD 14.8 million; i.e. equal to 12 percent of the total liabilities on the company. In addition, the cost of debt was reduced by 32.5 percent, dropping the financing burdens of the company down to an amount of KD 2.7 million, improving the financial indicators and ratios of trading and rapid liquidity, as well as the debt ratio, efficiency and effectiveness of the financial solvency of the company.
Based on the achieved results, the Board of Directors has recommended cash dividends of 5 percent of the nominal value of the share. It is worth noting that the recommendations of the board regarding the dividends were based on specific principles and methodology that depend on the continuity and expansion of the company’s activities and the growth of its revenues in accordance with the future vision of the projects and operating revenues of the company in order to create added value to shareholders.

Also the Board suggested to reduce the company’s capital at nominal value of treasury shares of (132 826 178 shares) which equal (KD 13,282,618) as on 31/12/2012 to due to it’s more than the co. needs to be proposed at the General Assembly of shareholders, after obtaining the necessary approval from the capital markets Authority and the regulatory authorities. He also stressed that this reduction has no impact on shareholders’ equity or the share book value.
The company always strives to maintain continuous growth rates, enhance profit margins, manage cash flows and optimize the return on invested capital in a way that achieves quality and value. Moreover, the company follows low-risk policies and strategies for the acquisition of good assets, maintaining balance and diversity of real estate investments in cash generating properties and strategic assets, achieving increased growth and creating a sustainable added value to our shareholders and partners, Marafie said.
Marafie expressed his thanks and gratitude to all shareholders, members of the board and all personnel in the company for their efforts, determination, continuous support and hard work to achieve the desired goals.