KIPCO profit up 77 per cent to KD 12.1 million (USD 41.1 million) in first nine months of 2003

Net profits for the three months of June to September were KD 4,035,508 (US$ 13,720,727), or 4 fils (1.4 cents) per share, up 216% compared to KD 1,277,288 (US$ 4,342,779) in the same quarter of 2002.

During the first nine months of 2003, the market value of KIPCO's investments in core listed subsidiaries and associated companies rose by KD 90,089,205 (US$ 306,303,297), an increase of 33.75% from KD 266,939,962 (US$ 907,595,870) in 2002 to KD 357,029,167 (US$ 1,213,899,167). This increase in market value translates into KD 170,604,477 (US$ 580,055,221) of unrecognised appreciation KIPCO's book value.

KIPCO, with assets of more than US$ 10 billion under management or control, is a major regional force in financial services and media & technology, with further interests in real estate and industry. Its companies include Wataniya Telecom, part of the consortium recently awarded the GSM license for northern Iraq, and KIPCO Asset Management Company (KAMCO), which successfully listed on the Kuwait Stock Exchange this week following unprecedented demand for its shares in a hugely oversubscribed pre-listing private placement.

"These extremely positive results demonstrate the underlying strength of our Group and the consistently solid progress we continue to make across our diverse portfolio of companies," said KIPCO managing director and chief executive officer Faisal Al-Ayyar. "They have been achieved during a period of carefully-planned expansion, and give us great confidence for our future endeavours and growth," he said.

Total revenues were KD 39,384,716 (US$ 133,908,034) for the nine months ended September 30, 2003, compared to KD 32,199,274 (US$ 109,477,531) in the same period of 2002; and KD 12,052,794 (US$ 40,979,499) for the three months ended September 30, against KD 8,765, 586 (US$ 29,802,992) in the same period of 2002.

Consolidated total assets were KD 659,546,107 (US$ 2, 242,456,763) as of September 30, 2003, compared to KD 579,170,495 (US$ 1,969,179,683) as of December 31, 2002, and KD 540,849,954 (US$ 1,838,889,843) as of September 30, 2002.

Shareholders' equity was KD 152,708,155 (US$ 519,207,727) as of September 30, 2003, compared to KD 140,023,041 (US$ 476,078,339) as of December 31, 2002, and KD 130,829,508 (US$ 444,820,327) as of September 30, 2002.

KIPCO Group companies also include United Real Estate (URC), developer of Kuwait's massive Marina Mall seashore retail and leisure complex; Burgan Bank; Gulf Insurance Company (GIC); United Industries (UIC) and its affiliate United Fisheries of Kuwait (UFK), which in turn has Saudi Dairy and Foodstuff Company (SADAFCO) among its affiliates; United Gulf Bank of Bahrain (UGB); and Showtime, the Middle East's and North Africa's hugely-popular digital satellite pay-TV service, a joint venture between KIPCO and Viacom International.