The Annual General Assembly of Afkar Holding Company approved the distribution of 5% cash dividend for FY2022. Chairman of the Board of Directors, Abdel Wahhab Al-Sanad, stated that the record leap in the company's revenues confirms that it is on the right path and will expand its capabilities in the industrial sector.
Speaking after yesterday's AGM, which had an attendance rate of 91.7%, Al-Sanad stated that Afkar Holding is a subsidiary of Gulf Investment House and operates as its industrial arm. As a major shareholder, holding 60.27% ownership, Gulf Investment House provides significant support to Afkar Holding. This support has played a crucial role in the company's achievement of a remarkable surge in total revenues and sales. In comparison to the previous year, 2022, the company experienced a substantial increase of 38 percent, equivalent to KWD 2.08 million. Revenues rose from KWD 5.49 million to KWD 7.57 million.
Al-Sanad further stated that the Board of Directors holds a comprehensive vision and ambitious plan for Afkar Holding to evolve into a modern industrial group. The company aims to specialize in the production of distinguished industries by incorporating advanced technology and smart digital solutions. These endeavors are aimed at delivering products that meet international standards and stringent health regulations, thus aligning with the demands of both local and global markets.
Al-Sanad highlighted that, as a testament to the company's financial stability, the Board of Directors proposed distributing cash dividends to shareholders at a rate of 5% for the previous year, a recommendation that was approved by the AGM.
He further emphasized the ongoing tangible progress in the company's plans to fortify and empower its position in this crucial and productive sector. The company's unwavering focus is entirely directed towards industry as a fundamental and strategic undertaking, with particular emphasis on the food and consumer industries. Moreover, there are plans to incorporate additional industries in the future, as numerous options have been explored to pursue beneficial opportunities for shareholders. These endeavors align with the company's policy of continuous expansion and development.
Meanwhile, Mashari Al-Mudhaini, the CEO of Afkar, stated that they continue to strongly focus on industrial investment in the Kuwaiti market as a primary and essential station for them.
He explained that the company's achievements, starting from product development to strong competition in the local market and progress in acquiring a significant competitive share, will provide them with future flexibility to achieve an additional qualitative leap. This will be accomplished by continuing to implement the strategy of expanding industrial investment and diversifying products.
He added that Afkar has excellent cash liquidity, which will assist them in completing acquisitions or expansions and seizing opportunities that align with their objectives. They are actively seeking industrial opportunities and investments that generate growth.
He further emphasized that the industrial sector has proven, during the recent crisis, to be a crucial strategic asset on the economic front. This necessitates paying more attention to this sector, overcoming all the obstacles and challenges it faces, and elevating it further. This is especially important because it represents a real and productive investment that ensures financial stability, food security, and developmental and economic stability. It is considered a cornerstone of the economy.
Al-Mudhaini pointed out that the company's assets currently amount to KWD 18.6 million, with a growth rate of 7.7% last year. Net profits increased by 131%, indicating the progress of the company, the success of its investment leadership, and the effectiveness of its expansion and outreach plan.
It is worth mentioning that Afkar Holding owns several local and international industrial investments, including National Paper Products Company (Al-Watania), which is one of the leading manufacturers of tissue paper in Kuwait. Al-Watania possesses well-known and trusted brands that cater to the market's essential paper product needs. The company's policies and strategies have enabled it to gain a competitive position in the market, along with well-planned expansions. Currently, the company is constructing a new factory in the Subhan Industrial Area, spanning an area of 2,000 square meters. It is expected to be completed within the next year, providing an additional strength that contributes to creating new opportunities and markets for the company's products.
Among the investments of Afkar Holding is the Snack Foods Company (Mickey), which is a leading Kuwaiti company specialized in manufacturing crispy potato chips under the brand name "Mickey Snacks".
The factory is located in the Subhan Industrial Area and offers a wide range of products that cater to a large segment of the market. These products are widely distributed through various sales outlets. Currently, the factory is focused on product development by adding new and modern production lines equipped with the latest global technology to produce healthy products that meet consumer needs. The factory has been able to gain a growing market share, allowing it to position itself and provide a strong marketing presence for its products.