News Update

 

Kuwaiti developer says H1 net profit rises by 52%

National Real Estate Company (NREC), a Kuwaitbased developer with projects exceeding $1 billion in both
Egypt and the UAE, has recorded growth in topline earnings of 52 percent and a net profit KD7.6 million.
The company behind the upcoming Reem Mall in Abu Dhabi, said revenue growth was driven by income
generating assets in Kuwait, Jordan and Egypt, where NREC is developing a 3.8 million square metre
residential community.
The company is also developing Reem Mall, a two million square foot major shopping destination in Abu Dhabi.
Reem Mall will house more than 450 stores including 85 restaurants, a large hypermarket, and family
entertainment zones that include the world’s largest indoor snowplay
park.
Operating revenue for the first six months of 2016 totalled KD14.9 million, up 52 percent from H1 2015 while net
profit fell one percent to KD7.6 million.
NREC CEO Samuel Sidiqi said: “We are pleased to report record revenues for the first half of 2016 with our
income generating properties in Kuwait, Jordan and Egypt performing well despite regional macroeconomic
challenges.”
In Abu Dhabi, he said the company is in the final stages of tendering the remaining works for Reem Mall after
selecting Al Futtaim Carillion as the project’s preferred tenderer for construction.
“Our leasing program is on track and continues to exceed expectations. We maintain our positive outlook for the
rest of 2016 driven by continued healthy performance in our core markets,” he added.
In Kuwait, the company said rental income grew by 4 percent from the same period last year to KD5.3 million.
NREC has six properties in Kuwait, with Souq Sharq being the company’s primary asset.