Boubyan Petrochemical K S C P : Transcript of the Analysts Conference

Transcript of BPC Analysts Conference Call for the results of Q2 ended 31/10/2023

**************************

Operator: Ladies and Gentlemen. Welcome to Boubyan

	Petrochemical Company's Q2 2023/2024 results
	conference call. I will now handover the call to
	your host today, Sidharth Saboo from Arqaam
	Capital. Please go ahead.
Sidharth:	Thank you. Good afternoon, ladies and gentlemen
	and thank you for joining us today. This is Sidharth
	Saboo, and on behalf of Arqaam Capital I'm
	delighted to welcome you to Boubyan
	Petrochemical Company's conference call for
	Second Quarter 2023-2024 results. I have with me
	here Mr. Nawaf, Chief Strategy and Finance Officer
	of Boubyan Petrochemical Company. With no
	further delay, I will now turn over the call to Mr.
	Nawaf.
Nawaf:	Good afternoon, everyone, and thank you all for
	joining us today to discuss our results for the
	second quarter of the fiscal year 2024.
	Boubyan achieved a net profit of KWD 2.9 million
	this quarter, despite a decline in dividend income
	from Equate. Our investment portfolio currently
	stands at KWD 438 million. Following our
	announcement that Boubyan obtained the
	approval of the Competition Protection Agency to
	acquire the English Education Providers Group,
	also known as EPG, I am happy to announce that
	we have successfully closed the transaction.
	Moving on to the financial performance of
	Boubyan's core investment, EYAS reported a net
	loss of KWD 12 thousand during its fourth
	quarter, compared to a net loss of KWD 361
	thousand for the same period last year. This
	improvement was mainly driven by the
	optimization of operating costs at GUST. Looking
	ahead, student registrations for the fall 2023
	semester increased by 18% compared to last
	year.
	Nafais Holding Co. reported a 10% increase in net
	income, reaching KWD 2.9 million driven by
	higher revenues from its medical subsidiary,
	Mowasat Hospital.
	SAMA reported a net profit of KWD 4.4 million
	this quarter, compared to KWD 3 million during
	the same period last year. This growth comes
	from both of its school brands, ACA and KES.

تﺎﯾوﺎﻣﯾﻛورﺗﺑﻠﻟ نﺎﯾﺑوﺑ ﺔﻛرﺷﻟ نﯾﻠﻠﺣﻣﻟارﻣﺗؤﻣﻟ ﻲﻔﺗﺎﮭﻟا عﺎﻣﺗﺟﻻارﺿﺣﻣ

2023/10/31 ﻲﻓ ﻲﮭﺗﻧﻣﻟا ﻲﻧﺎﺛﻟا ﻊﺑرﻟا ﺞﺋﺎﺗﻧﺑ صﺎﺧﻟاو

****************************

ش

ف

ً

ﱢ ُ

ﺔﻛ� ﺞﺋﺎﺘﻨﻟ ﺔ�ﻋﺎﻤﺠﻟا ﺔﻤﻟﺎكﻤﻟا � ﻢكب �ﻫأ ،ةدﺎﺴﻟاو تاﺪ�ﺴﻟا

:ﻖﺴنﻤﻟا

مﺎﻌﻟا ﻦﻣ

ن

ﻊــ��ﻟا

ﻦﻋ

ي

ت

يﺎﺜﻟا

«تﺎ�وﺎﻤ�ﻛو�ﺒﻠﻟ نﺎ���ﺑ»

مﺎﻗرأ ﻦﻣ ،ثراﺪ�ﺳ �إ نﻵا ﺔﻤﻠ�ﻟا ﻞﻘﻧأ فﻮﺳو .2024/2023

ﱠ

.يﺪ�ﺳ ﻞﻀﻔﺗ .مﻮﻴﻟا ﻢكﻔ�ﻀﺘﺴ� يﺬﻟاو ،لﺎﺘيﺑﺎك

�

.

�

:

ﺎﻨﻟ ﻢكﻣﺎﻤﻀﻧﻻ اﺮﻜﺷو ،ةدﺎﺴﻟاو تاﺪ�ﺴﻟا �يﺨﻟا ءﺎﺴﻣ

ﻚﻟ اﺮﻜﺷ

ثراﺪ�ﺳ

ف

،لﺎﺘيﺑﺎك مﺎﻗرأ ﻦﻋ ﺔبﺎ�ﻨﻟﺎ�و ،وﻮﺑﺎﺳ ثراﺪ�ﺳ ﺎﻧأ .مﻮﻴﻟا

دوأ يﻧﺈﻓ

نﺎ���ﺑ»

ش

ﺔﻤﻟﺎكﻤﻟا

ف

ﺔﻛ� ﺞﺋﺎﺘﻨﻟ ﺔ�ﻋﺎﻤﺠﻟا

� ﻢكب ﺐﺣرأ نأ

ﻢﻀﻨﻳ .2024-2023 مﺎﻌﻟا ﻦﻣ

ن

ي

ت

يﺎﺜ

ﻟا ﻊــ��ﻟا ﻦﻋ «تﺎ�وﺎﻤ�ﻛو�ﺒﻠﻟ

ت

ﺔ�ﻟﺎﻤﻟاو ﺔ�ﺠ�ﺗا�ﺳﻼﻟ يﺬ�ﻔﻨﺘﻟا ﺲ�ﺋﺮﻟا ،فاﻮﻧ /ﺪ�ﺴﻟا مﻮﻴﻟا �ﻣ

�

ت

ت

شي ف

ﻦﻣ ��أ ﻢكﺮﺧﺆﻧ ﻻ ىﺣو .«تﺎ�وﺎﻤ�ﻛو�ﺒﻠﻟ نﺎ���ﺑ» ﺔﻛ� �

ي

.ﻢكﻌﻣ ﺚ�ﺪﺤﻟﺎب فاﻮﻧ /ﺪ�ﺴﻟا نﻵا مﻮﻘ� فﻮﺴﻓ ،ﻚﻟذ

�

�

:فاﻮﻧ

مﻮﻴﻟا ﺔ�ﻋﺎﻤﺠﻟا ﺎﻨﺘﻤﻟﺎكﻤﻟ ﻢكﻣﺎﻤﻀﻧﻻ اﺮﻜﺷو ،ﺎﻌ�ﻤﺟ �يﺨﻟا ءﺎﺴﻣ

.2024 �ﺎﻤﻟا مﺎﻌﻟا ﻦﻣ

ن

ﻊــ��ﻟا لﻼﺧ ﺎﻨﺠﺋﺎﺘﻧ ﺔﺸﻗﺎﻨﻤﻟ

ي ف

يﺎﺜﻟا

ت

ش

2.9 ەرﺪﻗ حﺎ�رأ �ﺎﺻ «تﺎ�وﺎﻤ�ﻛو�ﺒﻠﻟ نﺎ���ﺑ» ﺔﻛ� ﺖﻘﻘﺣ

ي

ت

�ﻋ ﻚﻟذو ،مﺎﻌﻟا ﻦﻣ �ﺎﺤﻟا ﻊــ��ﻟا لﻼﺧ ي��ﻛ رﺎﻨﻳد نﻮﻴﻠﻣ

ش

ي

ض

ي

.«ﺖ��ﻜ�إ» ﺔﻛ� ﻦﻣ ﺔ�ﺪﻘﻨﻟا حﺎ�رﻷا � ضﺎﻔﺨﻧﻻا ﻦﻣ ﻢﻏﺮﻟا

.

ت

�

ي

ي��ﻛرﺎﻨﻳد نﻮﻴﻠﻣ 438 ﺎ�ﻟﺎﺣ ﺔ�رﺎﻤﺜتﺳﻻا ﺎﻨﺘﻈﻔﺤﻣ ﺔﻤ�ﻗ ﻎﻠبﺗو

ي

ت

ش

�ﻋ «تﺎ�وﺎﻤ�ﻛو�ﺒﻠﻟ نﺎ���ﺑ» ﺔﻛ� لﻮﺼﺣ ﻦﻋ ﺎﻨﻧﻼﻋإ ﺐﻘﻋو

ﺔﻋﻮﻤﺠﻤﻟا

�ﻋ ذاﻮﺤﺘﺳﻼﻟ

ﺔﺴﻓﺎﻨﻤﻟا

ﺔ�ﺎﻤﺣ زﺎﻬﺟ

ﺔﻘﻓاﻮﻣ

�

ن

ﻪﻧﺈﻓ ،�بي يإ ﻢﺳﺎب ﺎﻀ�أ ﺔﻓوﺮﻌﻤﻟاو ،ﺮﻜبﻤﻟا ﻢ�ﻠﻌﺘﻠﻟ ﺔ��يﻠﺠﻧﻹا

ي

يب

.حﺎﺠﻨﺑ ﺔﻘﻔﺼﻠﻟ ﺎﻨﻗﻼﻏإ ﻦﻋ ﻦﻠﻌﻧُنأ ﺎﻧرو� �اود ﻦﻣ

ث

ي

نﺎ���ﺑ» ﺔﻛ�ﻟ ﺔ�ﺳﺎﺳﻷا تارﺎﻤﺜتﺳﻼﻟ �ﺎﻤﻟا ءادﻷا �إ نﻵا ﻞﻘﺘنﻧ

«

ن

��دﺎ�ﻷا

ﻢ�ﻠﻌﺘﻠﻟ

ي

ﱠ

ت

يﻘﺘﻟاو

سﺎ�إ» تﺪبﻜﺗ ،«تﺎ�وﺎﻤ�ﻛو�ﺒﻠﻟ

ي

ت

ف

ﻦﻣ ﻊﺑاﺮﻟا ﻊــ��ﻟا لﻼﺧ ي��ﻛرﺎﻨﻳد ﻒﻟأ 12

ﺔﻤ�ﻘب ﺮﺋﺎﺴﺧ �ﺎﺻ

ت

ي

ف

ي

لﻼﺧ ي��ﻛرﺎﻨﻳد ﻒﻟأ 361

ﺎﻬﺘﻤ�ﻗ ﺮﺋﺎﺴﺧ �ﺎﺼب ﺔﻧرﺎﻘﻣ مﺎﻌﻟا

ي

ض

ي

ت

اﺬﻫ ءارو ��ﺋﺮﻟا ﺐبﺴﻟا ﻊﺟﺮ�و .�ﺎﻤﻟا مﺎﻌﻟا ﻦﻣ ﺎﻬﺴﻔﻧ ة�ﻔﻟا

ف

ي

ي

ﱡ

� ﺔ�ﻠ�ﻐﺸتﻟا ﻒ�ﻟﺎكﺘﻟا ﺪ�ﺷﺮﺗ ﻦﻣ ةدﺎﻔﺘﺳﻻا ﻢ�ﻈﻌﺗ �إ ﻦﺴﺤﺘﻟا

ي

ﺪﻘﻓ ،ﻞبﻘﺘﺴﻤﻟا �إ ﺮﻈﻨﻟﺎ�و .ﺎ�ﺟﻮﻟﻮﻨﻜﺘﻟاو مﻮﻠﻌﻠﻟ ﺞﻴﻠﺨﻟا ﺔﻌﻣﺎﺟ

ﺔبﺴنﺑ 2023 مﺎﻌﻠﻟ ﻒ��ﺨﻟا ﻞﺼﻔﻟ بﻼﻄﻟا ﻞ�ﺠﺴ� لﺪﻌﻣ ﻊﻔﺗرا

ض

.�ﺎﻤﻟا مﺎﻌﻟﺎب ﺔﻧرﺎﻘﻣ %18

ي

ف

ف

�

ش

ﱠ

حﺎ�رﻷا �ﺎﺻ � %10 ﻪﺘبﺴ� ﺎﻋﺎﻔﺗرا «ﺲ�ﺎﻔﻧ» ﺔﻛ� ﺖﻠﺠﺳ

ي

ي

ت

ﻦﻣ تاداﺮﻳﻹا عﺎﻔﺗرا ﺐبﺴ� ي��ﻛ رﺎﻨﻳد نﻮﻴﻠﻣ 2.9 �إ ﻞﺼ�ﻟ

ي

ف

ش

.ةﺎﺳاﻮﻤﻟا �ﺸتﺴﻣ ،ﺔﻌبﺎﺘﻟا ﺔ�ﺒﻄﻟا ﺎﻬﺘﻛ�

ف

ش

رﺎﻨﻳد نﻮﻴﻠﻣ 4.4 ﺔﻤ�ﻘب حﺎ�رأ �ﺎﺻ «ﺎﻤﺳ» ﺔﻛ� ﺖﻘﻘﺣ ﺎﻤك

ف

ي

ت

حﺎ�رأ �ﺎﺼب ﺔﻧرﺎﻘﻣ ﻚﻟذو ،مﺎﻌﻟا ﻦﻣ �ﺎﺤﻟا ﻊــ��ﻟا لﻼﺧ ي��ﻛ

ض

ي

ت

ي

ي

ت

.�ﺎﻤﻟا مﺎﻌﻟا ﻦﻣ ﺎﻬﺴﻔﻧ ة�ﻔﻟا لﻼﺧ ي��ﻛرﺎﻨﻳد نﻮﻴﻠﻣ 3 ەرﺪﻗ

في

ف

ف

ي

نﺘﻌبﺎﺘﻟاي

نﺘﻴﻤي �ﻠﻌﺘﻟا نﺘﺴﺳﺆﻤﻟاي

ﻼك ﻦﻣ عﺎﻔﺗرﻻا اﺬﻫ ءﺎﺟ ﺪﻗو

.

ن

ﺔ��يﻠﺠﻧﻻا ﺖ���ﻟا ﺔﺳرﺪﻣو ﺔ�ﻜ��ﻣﻷا عاﺪبﻹا ﺔ�ﻤ�دﺎ�أ ﺎﻤﻫو ،ﺎﻬﻟ

Al Kout reported a net income of KWD 1.9 million, compared to KWD 2.5 million during the same period last year. The decrease in net income during the quarter was caused by lower average selling prices of Chloralkali products, although the production volumes have remained the same.

Muna Nour reported a net profit of OMR 390 thousand this quarter, compared to a net loss of OMR 27 thousand for the same period last year. This growth stemmed from the increase in gross margins from 8% to 21%.

Al Borg Diagnostics reported a net loss of SAR 7.5 million this quarter compared to a net loss of SAR

7.2 million over the same period last year. While undergoing operational streamlining, the company is committed to enhancing its operational efficiency and strengthening its financial resilience.

With that, I would like now to open the discussion to address any questions you may have.

Operator:	If you would like to ask a question today, please
	press star followed by 1 on your telephone
	keypad. It appears we have no questions
	currently. I would like to pass the call back to
	Management for any closing remarks.
Nawaf:	Thank you very much and thank you Sidharth for
	hosting this call and thank you all attendees today
	and we look forward to our next call for
	discussing the third quarter results. Thank you
	very much and we will now end the call.

ف

ش

ﺔﻤ�ﻘب حﺎ�رأ �ﺎﺻ «ﺔ�ﻋﺎﻨﺼﻟا ﻊــــ�رﺎﺸﻤﻠﻟ تﻮ�ﻟا» ﺔﻛ� ﺖﻘﻘﺣ

ت

ي

ت

لﻼﺧ ي��ﻛ رﺎﻨﻳد نﻮﻴﻠﻣ 2.5 ﻞبﺎﻘﻣ

ي��ﻛ رﺎﻨﻳد نﻮﻴﻠﻣ 1.9

يف

ف

ض

ي

ت

حﺎ�رﻷا �ﺎﺻ � ضﺎﻔﺨﻧﻻا ءﺎﺟ

.�ﺎﻤﻟا مﺎﻌﻟا ﻦﻣ ﺎﻬﺴﻔﻧ ة�ﻔﻟا

ي

ي

ي

ضﺎﻔﺨﻧا ﺐبﺴ� ��ﺋر ﻞكﺸ� مﺎﻌﻟا ﻦﻣ �ﺎﺤﻟا ﻊــ��ﻟا لﻼﺧ

ي

ي

ﻦﻣ ﻢﻏﺮﻟا �ﻋ ﻚﻟذو ،يﻮﻠﻘﻟا رﻮﻠ�ﻟا تﺎﺠﺘﻨﻣ ﻊﻴﺑ رﺎﻌﺳأ ﻂﺳﻮﺘﻣ

.ﺎﻬﺴﻔﻧ تﺎ��ﺘﺴﻤﻟا ﺪﻨﻋ جﺎﺘﻧﻹا مﺎﺠﺣأ ءﺎﻘب

لﺎ�ر ﻒﻟأ 390

ف

ف

ش

ﺔﻤ�ﻘب حﺎ�رأ �ﺎﺻ «رﻮﻧ ىﻣ» ﺔﻛ� ﺖﻘﻘﺣو

ف

ي

ي

ن

ي

يﺎﻤﻋ

ەرﺪﻗ ﺮﺋﺎﺴﺧ �ﺎﺼب ﺔﻧرﺎﻘﻣ ،مﺎﻌﻟا ﻦﻣ �ﺎﺤﻟا ﻊــ��ﻟا لﻼﺧ

ي

ض

ت

ف

لﺎ�ر ﻒﻟأ 27

يﺎﻤﻋ

.�ﺎﻤﻟا مﺎﻌﻟا ﻦﻣ ﺎﻬﺴﻔﻧ ﺔ�ﻨﻣﺰﻟا ة�ﻔﻟا لﻼﺧ

�إ %8 ﻦﻣ ﺢــ��ﻟا �ﺎﻤﺟإ ﺶﻣاﻮﻫ عﺎﻔﺗرا ﺔﺠ�تﻧ ﻮﻤﻨﻟا اﺬﻫ ءﺎﺟو

ي

.%21

ف

ش

ﱠ

ﺎﻬﺘﻤ�ﻗ ﺮﺋﺎﺴﺧ �ﺎﺻ «ﺔ�ﺒﻄﻟا تا�بﺘﺨﻤﻠﻟ ج�بﻟا» ﺔﻛ� تﺪبﻜﺗو

ي

ﺔﻧرﺎﻘﻣ ،مﺎﻌﻟا ﻦﻣ �ﺎﺤﻟا ﻊــ��ﻟا لﻼﺧ يدﻮﻌﺳ لﺎ�ر نﻮﻴﻠﻣ 7.5

ت

ي

ف

ة�ﻔﻟا لﻼﺧ يدﻮﻌﺳ لﺎ�ر نﻮﻴﻠﻣ 7.2 ەرﺪﻗ ﺮﺋﺎﺴﺧ �ﺎﺼب

ش

ض

ي

ﺮ��ﻄﺘﻟ ﺔﻛ�ﻟا ﻊﻀﺨﺗ ﺎﻤﻨي�و .�ﺎﻤﻟا

مﺎﻌﻟا ﻦﻣ ﺎﻬﺴﻔﻧ ﺔ�ﻨﻣﺰﻟا

ي

ت

ﺔ�ﻠ�ﻐﺸتﻟا

ف

ﺎﻬﺗءﺎﻔﻛ نﺴﺤي ﺘﺑ م�ﻠﺗ ﺎﻬﻧﺈﻓ ،ﺔ�ﻠ�ﻐﺸتﻟا تﺎ�ﻠﻤﻌﻟا

ً

.�ﺎﻤﻟا ﺎﻫراﺮﻘﺘﺳا ﺰ��ﻌﺗ ﻦﻋ �ﻀﻓ

ي

ت

ﻢكﺗارﺎﺴﻔﺘﺳا �ﻠﺘﻟ ﺔﺸﻗﺎﻨﻤﻟا بﺎب ﺢﺘﻓ نﻵا دوأ ،اﺬﻫ ﺎﻨﻟﻮﻘ�و

ي

.ﺎﻬﻴﻠﻋ ﺔبﺎﺟﻹاو

ً

ﱢ ُ

ﻂﻐﻀﻟا لﻼﺧ ﻦﻣ ﻚﻟذ اﻮﻠﻌﻓا �ﻀﻓ ،مﻮﻴﻟا لاﺆﺳ ح�ﻃ ﻢﺗدرأ نإ

:ﻖﺴنﻤﻟا

�

ف

ﻞﻘﻧأ نأ دوأ .ﺎ�ﻟﺎﺣ ﺔﻠﺌﺳأ ﺔ�أ ﺪﺟﻮﺗ ﻻ ﻪﻧأ وﺪبﻳ .ﻢكﻔﺗﺎﻫ � 1* �ﻋ

.

ي

ﺔ�ﻣﺎﺘﺧ تﺎﻈﺣﻼﻣ ﺔ�ﺄب ﻢك�يﻛﺬﺘﻟ ةرادﻹا �إ ىﺮﺧأ ةﺮﻣ ﺔﻤﻠ�ﻟا

�

�

ً

�

:فاﻮﻧ

ﻚﺘﻓﺎﻀﺘﺳا �ﻋ ثراﺪ�ﺳ ﻚﻟ اﺮﻜﺷو ،ﺎﻌ�ﻤﺟ ﻢ�ﻟ ���ﺟ اﺮﻜﺷ

ض

�

،مﻮﻴﻟا ﺎﻨﻌﻣ نﻤﻀﻨﻤﻟاي

ﻊﻴﻤﺠﻟ اﺮﻜﺷو ،ﺔ�ﻋﺎﻤﺠﻟا ﺔﻤﻟﺎكﻤﻟا ەﺬﻬﻟ

ﺔﺸﻗﺎﻨﻤﻟ ﺔﻣدﺎﻘﻟا ﺔ�ﻋﺎﻤﺠﻟا ﺔﻤﻟﺎكﻤﻟا �ضﺎﻨﻌﻣ ﻢكﻣﺎﻤﻀﻧﻻ ﻊﻠﻄﺘﻧو

ُ

ً

�

ي

�ﻨﻧ فﻮﺳو ﻢ�ﻟ ���ﺟ اﺮﻜﺷ

.مﺎﻌﻟا ﻦﻣ ﺚﻟﺎﺜﻟا ﻊــ��ﻟا ﺞﺋﺎﺘﻧ

ي

.نﻵا ﺔﻤﻟﺎكﻤﻟا

Boubyan Petrochemical Company

Investor Update - October 31, 2023

Boubyan Petrochemical Company - 2Q23/24 results

Business

Highlights

Financial

Highlights

• Boubyan achieved a net profit of KWD 2.9 mn in 2Q23/24, despite a significant decline in dividend income from the Equate Group.
• Income from core investments witnessed a growth of 46%, driven by the education portfolio's strong performance, generating earnings of KWD 2.2 mn compared to KWD 0.9 mn during the same period last year.
• Following the reporting date, the Group secured the Competition Protection Agency's approval to acquire 100% equity interest in The English Education Providers Group (EPG), a Kuwaiti company operating pre-schools and schools across the country. The transaction is in the final stages of closing.
• Boubyan reported net income of KWD 2.9 mn in 2Q23/24, compared to KWD 6.5 mn in 2Q22/23 (EPS of 5.50 fils in 2Q23/24 vs 12.56 fils in 2Q22/23).
• The value of the investment portfolio as of 2Q23/24 amounted to KWD 437.7 mn, with core investments (excluding Equate) accounting for 25.5% of the portfolio.

2

Core Investments' Update (1/2)

• EYAS reported a net loss of KWD 12K in 4Q22/23, compared to a net loss of KWD 361K in 4Q21/22. This improvement was mainly driven by the optimization of operating costs at GUST.
• Additionally, student registrations for the Fall 2023 semester have increased by 18% compared to Fall 2022 semester, indicating positive prospects for FY23/24.
• Al Kout posted a net income of KWD 1.9 mn in 3Q23, compared to KWD 2.5 mn in 3Q22.
• The decrease in net income during the quarter was primarily due to a 14% decline in sale of Chlor Alkali, reflecting the decline in prices.
• In 2Q23, Nafais' net income witnessed a 10% growth, reaching KWD 2.9 mn from KWD 2.6 mn during the same period last year. This increase was a result of an increase in revenues from medical services.

3

Core Investments' Update (2/2)

• Muna Noor reported a net profit of OMR 390K during 2Q23/24, compared to a net loss of OMR 27K during the same period last year. The increase in net profit is mainly due to the improved gross margin of the Company, rising from 8% in 2Q22/23 to 21% in 2Q23/24.
• Al Borg reported a loss of SAR 7.5 mn during 2Q23, compared to a loss of SAR 7.2 mn during the same period last year. Amidst ongoing operational streamlining, Al Borg is steadfast in its commitment to implementing measures aimed at enhancing operational efficiency and strengthening financial resilience. These strategic initiatives are expected to yield positive results in the upcoming financial periods.
• Sama reported a net profit of KWD 4.4 mn in 4Q22/23, up from KWD 3.0 mn in 4Q21/22.
• The increase in profit during the quarter was a result of a 26% rise in revenues from tuition fees, driven by growth in ACA and KES.

4

Boubyan's investment portfolio reached KWD 437.7 mn as of

2Q23/24

Amounts in KWD, millions

EQUATE Group	Ownership	Carrying Value
EQUATE	9.0%	180.3
The Kuwait Olefins Company (TKOC)	9.0%	114.1
EQUATE Group Total		294.4
Core Investments	Ownership	Carrying Value
Sama	41.7%	38.8
Al Kout	54.1%	23.6
EYAS	62.8%	21.7
Nafais	21.1%	11.7
Muna Noor	100.0%	7.3
Al Borg	25.1%	5.4
Afaq	90.3%	2.0
KVC	84.6%	0.8
Total Core Investments		111.4
Total Non-Core Investments		31.9

7.3%

25.5%

67.3%

Equate Group

Core investments

Non-core investments

Total Investment Portfolio	437.7

5

Boubyan achieved net income of KWD 2.9 mn in 2Q23/24, compared

to KWD 6.5 mn in 2Q22/23

KWD, thousands
Income	2Q23/24	2Q22/23
Equate Group	1,382.0	5,610.9
Sama Education Co.	1,819.7	-
Al Kout	1,031.1	1,360.9
Eyas	(12.4)	(201.4)
Nafais	606.7	551.4
Afaq Education Co.	347.3	-
Muna Noor Group	313.2	(21.8)
KVC	2.7	-
Al Borg ML	(292.6)	(148.9)
EDU*	-	1,074.8
Total core investments income	3,815.8	2,615.0
Total non-core investments income	403.9	(49.5)
Realised and unrealised FVTPL gains	26.1	242.3
Intrerest and other Income	822.0	3.5
Foreign exchange gain	(1.8)	16.1
Total other income	846.3	261.9
Total income	6,448.2	8,438.3
Expenses	(3,085.1)	(1,379.7)
Finance cost
G&A expenses	(269.0)	(259.1)
Staff expenses	(121.9)	(136.9)
Board & Govt. Fees / Taxes	(35.4)	(114.0)
Total expenses	(3,511.4)	(1,889.7)
Net income	2,936.8	6,548.6

EPS Contribution (fils)

2Q23/24 2Q22/23

2.59 10.76

3.41 -

1.93 2.61

(0.02) (0.39)

1.14 1.06

0.65 -

0.59 (0.04)

0.01 -

(0.55) (0.29)

• 2.06

7.15 5.01

0.76 (0.09)

0.05 0.46

1.54 0.01

(0.00) 0.03

1.59 0.50

12.08 16.18

(5.78) (2.65)

(0.50) (0.50)

(0.23) (0.26)

(0.07) (0.22)

(6.58) (3.62)

5.50 12.56

Commentary

• Core investments' income increased to KWD 3.8 mn in 2Q23/24 from KWD 2.6 mn during the same period last year.
• Non-coreinvestment income increased to KWD 0.4 mn in 2Q23/24 compared to a loss of KWD 0.05 mn in 2Q22/23. The increase is mainly due to income from Boutiqaat.
• Net income declined to KWD 2.9 mn in 2Q23/24 from KWD 6.5 mn in 2Q22/23 as a result of: (i) decrease in dividend income from Equate Group; and (ii) an increase in finance cost.

*Excluding Eyas

6

Core Investment Income reached KWD 3.8 mn in 2Q23/24

Amounts in KWD, thousands

		55.3
	189.0	143.6
	329.8
335.1

1,094.9

3,815.8

2,615.0

2Q22/23 Core	EDU Group	Muna Noor	Eyas	Nafais	Al Borg ML	Al-Kout	2Q23/24 Core
Investment	(Sama, Afaq, KVC)	Group					Investment
Income							Income

7