Kuwait: The Board of Directors of National Investments Company approved the Company’s consolidated financial statements for the financial year ending December 31, 2024. The results demonstrate NIC’s outstanding financial and operational performance, recording exceptional growth, thanks to its successful strategic vision and diversification to provide sustainable returns and maximize shareholder value. The company achieved a net profit of KD 12.1 million and other profits of KD 11.7 million that were reclassified from comprehensive income to retained earnings due to a partial exit from one of its investments. The distributable profit becomes equivalent to 30 fils during the financial year ending 31 December 2024, despite the challenges and negative performance of the local and global markets and economy in general during 2024.

Solid financial performance

Khaled Waleed Al-Falah, Chairman of the Board of Directors of NIC, said that 2024 was a year full of outstanding achievements, which was reflected in our ability to achieve our strategic goals, considering the challenges of the economic scene. The company maintained the growth momentum, achieving financial profits during the fiscal year 2024, based on solid foundations supported by flexible strategic diversification while seizing promising opportunities and reducing risks, in line with the wise strategy and flexibility to adapt to the changing environment conditions, which in turn proved its strength in addressing local and global economic challenges, achieving competitive advantage and success in the diversified business mix and ensuring long-term stability.

Al-Falah has pointed out that during 2024, the total trading values of Boursa Kuwait increased by 42.7 percent to KD 14.8 billion compared to KD 10.4 billion for 2023. The value of trading shares of the Premier Market amounting to KD 9.8 billion accounted for 65.9 percent of the total trading values of the stock exchange. In comparison, the trading values of the Main Market shares constituted about 34.1 percent of the total trading values of the stock exchange, compared to 20.8 percent for the year 2023. It is worth noting that the performance of the Main Market Index for 2024 outperformed all the General Market Index and the Premier Market Index for the fifth time since 2016.

Al-Falah also highlighted that despite the regional and international geopolitical tensions, which have negatively affected the economic situation, the company has been able to reap the fruits of its strategic diversification approach in its products and services, supported by a solid financial base, high asset quality, and prudent risk management.

He also confirmed that NIC adopts the highest standards of sustainability while following the best environmental, social, and corporate governance practices while being very keen to seize the best and most sustainable opportunities and to be the best source in preserving the endeavors and interests of the company’s customers and shareholders and providing diversified and innovative investment products according to their requirements to achieve their investment goals.

Performance indicators

Al-Falah reviewed the most prominent financial indicators of the National Investments Company during the past year. He said that the company’s total assets amounted to KD 284 million by the end of 2024, while the total shareholders’ equity of the parent company reached KD 197.5 million.

Despite the escalation of global geopolitical tensions and the fears of the continuation of the tight monetary policy by the US Federal Reserve due to the inflation data from time to time, which had negative repercussions on some GCC markets, the company succeeded in achieving annual profits and remarkable growth in all fundamental financial indicators, noting that favorable rates were achieved concerning profitability indicators and return on both average assets and average shareholders’ equity. Improving asset quality indicators and successfully maintaining reasonable cost and revenue ratios simultaneously.

Boursa Kuwait recorded a positive performance of 8 percent growth, Dubai by 27.1 percent, Saudi Arabia by 0.6 percent, Oman by 1.4 percent, Qatar Stock Exchange by -2.4 percent, and Abu Dhabi by -1.7 percent. Asset quality and success in maintaining reasonable cost and revenue ratios simultaneously, as it achieved in 2024 a net financial profit of KD 12.1 million compared to earnings of KD 4.1 million for the comparative period ended December 31, 2023. The company also achieved another profit of KD 11.7 million, equivalent to 15 fils that were reclassified from comprehensive income to retained earnings.

Regarding distributions, NIC’s Board of Directors has decided to recommend the distribution of cash dividends at the rate of 22 percent of the nominal value of the share, i.e., by 22 fils per share for the financial year that ended in 2024, which confirms the solidity and strength of NIC’s financial position. This recommendation is subject to the approval of the company’s Annual General Meeting for shareholders registered in the company’s records on the date of the general assembly meeting.

A year full of achievements

Emphasizing the company’s position among regional investment companies and the culmination of its tireless efforts, Al-Falah pointed out that the company was awarded the ‘Best Local Investment Bank in Kuwait for the year 2024’ by one of the world’s leading financial platforms, Euromoney, which it made to improve the management of its investments and develop its services to keep pace with developments in the local and regional market.

The company also added to its successive success by receiving two new international awards, within the framework of serving its high-net-worth customers, namely the ‘Kuwait’s Best for Family Office Services” and “Kuwait’s Best for Next-Gen” for 2024 by Euromoney International, which is considered one of the most important awards at the level of the financial sector regionally, a prestigious and pioneering achievement that enhances the company’s position and leadership at the regional level. To conclude, Al-Falah stressed the strength of the main operational elements that motivate the company’s performance and distinguish the ingenuity of its business, as it is a close basis on which to base the growth plans during the current year, pointing to the full support of the Board of Directors for the company’s sectors, and also praising the efforts of the Executive Management, which is characterized by high professionalism, appreciating its efforts to achieve good and desired results that would not have been achieved without the sincere efforts of management and all employees.

Successful deals and positive results

Fahad Abdulrahman Al-Mukhaizim, Board Member and CEO of The National Investments Company confirmed that the company achieved key milestones through the Wealth Management sector during the last quarter of 2024. The company continued expanding its client base, attracting more local and international investors and opening several investment portfolios.

The team has also provided various investment tools for capital placement and innovative and diversified investment products with calculated risks, considering the challenges faced by the financial markets. One of the most critical opportunities was the IPO of Lulu Retail Holding in UAE. This leading company is the largest and fastest-growing comprehensive retail chain in the GCC, with a value of $1.72 billion on the Abu Dhabi Securities Exchange (ADX). This is another significant addition to the company’s track record of success in recent years. It has strengthened its position in providing services ranging from asset management to capital markets and investment banking and advisory services.

On the other hand, Al-Mukhaizim said that the Financial Advisory Services Department has recorded an outstanding performance in the fourth quarter of 2024. This includes participating in the most extensive IPO of the year in Abu Dhabi for Lulu Retail Holding on the Abu Dhabi Securities Exchange. The management has achieved a significant milestone in completing the merger of Arkan Properties with Al-Oula Real Estate Investment Company, with a value of $120 million.

Additionally, the company has concluded its role as a financial advisor for a partial exit from a minority stake in a listed company in the Kuwaiti market and as a sales advisor to another wholly listed and owned hospitality company in Kuwait. It has also completed the valuation of an investment portfolio in the Southeast Asia region for a listed company in Kuwait. The Financial Advisory Department has a strong portfolio of investment deals, including capital offerings, initial offerings, and mergers and acquisitions.

Al-Mukhaizim has also highlighted the success of the Alternative Investments Division in completing the mezzanine investment in France, strengthening its position in the mezzanine finance sector. This investment, sponsored by Scannell Properties, focuses on the logistics and warehousing sector. The Alternative Investments division also has many future credit deals that are carefully analyzed. Moreover, existing projects are performing well despite the challenges facing the market. In addition, the Alternative Investments division continues to work with subsidiaries to restructure the business and enhance operational efficiency. The Alternative Investments division collaborates with its subsidiaries to improve business structures and enhance operational efficiency.

He described the performance of some investment equity funds as ‘strong’ despite the volatility of the Kuwaiti market in 2024 due to the geopolitical and military conditions in the region. These conditions created uncertainty in investment decision-making, but some of our investment funds achieved positive performance during 2024.

Al-Mukhaizim also praised the Financial Instruments Team’s ongoing achievements, which contributed to strengthening the company’s role as one of the largest Market Maker service providers in Boursa Kuwait, as we succeeded in signing five new agreements, bringing the total number of companies to which we provide this service to 14. “Our team maintained the required trading rates to ensure that companies remain in the Premier Market constituents, in addition to contributing effectively to the qualification of a company from the Main Market to the Premier Market,” added Al-Mukhaizim.

Such achievements reflect our continued commitment to enhancing market efficiency and providing liquidity, which reinforces our company’s position as a strategic partner in the development of the trading environment at Boursa Kuwait. He said that NIC can face difficulties, meet challenges, and move forward to achieve more positive and distinguished achievements based on its Prudential Financial policy and its team’s wise and highly professional management. Thanks to its prudent strategy and the expertise of the company’s distinguished team, NIC can face difficulties, meet challenges, and move forward to achieve more positive and prominent achievements.

The Real Estate Investment Sector maintained high occupancy rates in the company’s properties and properties it is managing while succeeding in increasing the volume of managed properties, as the number of real estate portfolios increased during the fourth quarter by receiving two real estate portfolios to be managed in the first and second quarters of this year. In addition to several properties managed by the sector, the industry also introduced the electronic real estate system to enable tenants to follow up on all matters related to their units, such as maintenance requests and electronic payment, as well as the follow-up of property owners to their assets and financial flows and move forward in the development plans to develop some properties to preserve the value of assets and develop their facilities.

NIC highlighted its leading role in social responsibility, as it sponsored the Marketing Management Club at the College of Administrative Sciences at Kuwait University by supporting a few educational and academic activities and events, which aim to support the college’s students through educational initiatives that include providing specialized training courses for investment and developing their expertise in the field of investment and financial work. National Investments supported the American Society of Mechanical Engineers, which included educational workshops for all engineers, students, and industry professionals ahead of the 2025 mega event to promote the scientific and professional development of the community.

The company has also provided financial support to the Kuwait Food and Relief Bank during the holy month of Ramadan. This voluntary humanitarian association has unmistakable fingerprints and plays a significant and leading role in community service initiatives.

Positive work environment

The company also continued to support its human resources and provide diverse ideas and outputs based on creativity and innovation, as the company succeeded for the second year in a row in dealing with Kuwaiti women to qualify them to enter the investment labor market through the “Shift” program, and provided the necessary training courses to develop the skills, competencies, and capabilities of Kuwaiti women, making them worthy candidates for distinguished career opportunities in the private sector.

As part of the company’s efforts to support human, professional, and administrative development and attract the best competencies of national cadres, NIC, for the second consecutive year, concluded its active participation in Watheefti, the largest career fair in Kuwait. Through its participation, NIC presented the job opportunities available within the company for those who are qualified to work in the private sector, achieve the vision of (New Kuwait 2035), support national cadres, and work to build and improve young candidates and maintain their self-confidence, by opening doors of employment in various fields in within the private sector, based on their specializations and tendencies.

Al-Mukhaizim concluded by highlighting the company’s key successes during the year 2025. The company focuses on further advancement and growth, continuing to develop digital capabilities, contributing fruitfully and effectively to promoting all economic development paths, and providing the best services to meet the needs of the company’s customers and shareholders.

He also thanked the Board of Directors and all the company’s employees for their efforts and contributions to achieving its objectives within the framework of implementing its plans and strategic policy. He thanked all customers and shareholders for their precious confidence in the company and wished everyone continued cooperation and success.