Kuwait City, Kuwait, 27 October 2011 - ALAFCO announced a net profit of KD 47 million
Kuwait City, Kuwait, 27 October 2011 - ALAFCO announced a net profit of KD 47 million for the fiscal year ended 30 September 2011, exceeding four folds increase as compared to KD 10.8 million earned last year. The profit per share also rose more than four times to Fils 60 versus Fils 14 in the previous year. The Company's assets increased 8% to KD 581 million, and the shareholders equity jumped 39% to KD 142.5 million. The Board of Directors has recommended the distribution of cash dividends of Fils 10 per share subject to approval by the general assembly.
Chairman & CEO, Ahmad A. Alzabin, stated to the press after a meeting of the Board of Directors that the profits resulted from the expansion in the regional and international markets, in addition to the exceptional gains realized through the adjustment of purchase agreements with aircraft manufacturers during this period.
He added that the fiscal year ended 30 September 2011, had seen an increase in ALAFCO's portfolio whereby the number of aircraft increased from 40 to 48 aircraft, which is an increase of 8 aircraft that are leased to a number of regional and global airlines. Furthermore, ALAFCO had successfully obtained financing for the acquired aircraft in the amount of US $266 million from local and international banks.
During the year, ALAFCO strengthened its presence in the Middle East, Europe, Africa, Asia, and Latin America. Currently, ALAFCO has agreements to purchase 57 new aircraft from Airbus and Boeing that will be delivered from 2014 until 2021.
Alzabin said that we have confidence in the company's ability to meet the requirements of our customers and achieve the aspirations of our shareholders. This year's exceptional results have bolstered the company's ability to advance to the next phase of the growth plan. ALAFCO has an ambitious plan to increase its portfolio to 100 aircraft by 2018 that will result in increased cash flows and profitability.
At the end, the Chairman & CEO expressed his gratitude to the shareholders for their confidence and continued support to the company and its Board of Directors. Alzabin also thanked ALAFCO's management and staff for their contribution in achieving this success.