Kipco announces first half net profit of KD21.6m

Kipco's second quarter profits (for the three months ended 30 June, 2009) of KD12.4m ($43.2m) recorded a growth of 35% compared to the KD9.2m ($32.1m) reported in the first three months of 2009. These results were achieved despite the Group making KD28.4m ($98.9m) in additional precautionary provisions.

Total revenues for the first six months of 2009 were KD230.6m ($803.3m) compared to KD261.86m ($988.7m) for the same period in 2008.

During the second quarter, total assets increased 1.9% to KD5.28bn ($18.4bn) from KD5.18bn ($18.77bn) and shareholders' equity decreased 2.2% to KD531.7m ($1.9bn) from KD543.8m ($1.97bn), compared to the 2008 year end balances.

Kipco's Vice Chairman, Mr Faisal Al Ayyar, said the company's second quarter results reflected continuing uncertainty in the local economy. "Our second quarter performance shows excellent progress on the first quarter of this year. These results have been achieved despite having to make increased prudential provisions across our Group. The Group continues to perform well in difficult market conditions and we are confident about our progress for the remainder of the year."