Honorary Chairman Message

Al Mazaya Holding Company is the result of an idea for investment taken to its logical conclusion. Thinking big, creating high value and earning, as well as growing and maintaining the trust of big-time investors in the Kuwaiti market and abroad, have been the hallmark of Al Mazaya. We provide a wide range of real estate products and services across the spectrum, from purchasing, apportionment and developing of large areas in select zones to offering ready-to-use residential and commercial spaces. 

Board of Directors Report

Mazaya Holding Company KSCP (Holding) for the Fiscal Year Ended on 31/12/2022

Sisters and Brothers:

Our valuable shareholders,

May the peace, blessings, and mercy of God be upon you.

We welcome you again in our first meetings in the new year, and pray to the Almighty Allah to grant us and you all goodness, prosperity and success, and that the next phase is a transformation and elevation phase in the journey of Mazaya company towards new horizons in line with the recent changes and speedy developments witnessed by the entire world.

Ladies and gentlemen:

In 2022, Al Mazaya Holding Company witnessed significant challenges and difficulties resulting from the changes of real estate markets in which it operates, particularly the UAE and Turkish markets, which were affected extensively by numerous geopolitical and economic factors, in addition to the significant changes in the capital markets by increasing the interest rates significantly several times during the last year, in an attempt to control the markets and rapid inflation trends. This resulted in low liquidity and reduction in the mortgage rates due to their high cost. Therefore, this had negatively affected the value of real estate properties in various real estate markets. Dubai witnessed significant changes in supply and demand, represented in the increase of real estate units’ supply , the drop in their selling prices, in addition to the intensity of competition between real estate developers, which prompted them to develop marketing plans with competitive financing facilities. Meanwhile, in the Turkish market, which was classified in the beginning of 2022 as a hyperinflationary economy along with large fluctuations in the Turkish Lira exchange rates during the year 2022 especially in the first half of the year, which constituted an additional burden on the Turkish economy and, consequently, the decline in cash flows resulting from sales and leasing operations in the Company's projects there.

These factors, which were also affected by the implications of the regional and international conditions, had negatively affected the Company’s results during the year, especially with regards to the drop in some of its properties’ values, particularly in the aforementioned markets despite the increase in the Company’s operational income compared to last year. This was planned by the Company’s management before the beginning of the year through a business plan based on a number of strategic solutions that copes with the current conditions and addressing a number of them as well, which enabled us to achieve the required operational success by the end of year 2022.

In 2022, the Company’s operational plan was based on three foundations in order to have radical solutions to secure liquidity requirements as well as preserving its financial position and cash flow strength with full determination to meet its financial obligations towards all banks, contractors and vendors and to proceed with the preparation for new start of the Company in next years.

The first foundation was to reduce the Company’s presence in the real estate markets which witnessed difficulties by selling its real estate assets, reducing its operations and reducing its administrative costs in those markets. This includes selling various real estate properties in Dubai, in addition to the current approach for the Company to exit its main investment in the Republic of Turkey. The second foundation was the reduction of the Company’s bank debts during the year. The third foundation was to enhance the Company’s operations through increasing the occupancy rates in the income generating properties as well as increasing the Company’s income arising from its medical projects.

Ladies and gentlemen:

We are pleased here to present the annual report of your Company for the fiscal year ended 31 December 2022, in which, we presented a quick summary of the most important achievements of the Company on both operational and financial levels.

Thanks to Allah The Almighty, Mazaya had achieved total operating revenues during 2022 of KD 15.18 Million which resulted mainly from sales and leasing operations as compared to KD 13.24 Million in 2021, an increase of almost 15%, which includes revenues from rental operations amounting to KD 11.13 Million in 2022 as compared to KD 9.56 Million in 2021, an increase of almost 16%. which resulted in profits from rental operations of KD 9.16 Million in 2022 as compared to KD 7.39 Million in 2021, an increase of almost 24%. Meanwhile, the revenues from sales operations had increased to KD 1.80 Million in 2022 as compared to KD 0.55 Million in 2021. Despite this success and growth on the operational side of the Company, the drop in the Company’s real estate properties in those aforementioned markets resulted in total unrealized losses of almost KD12.63 Million, which represents less than 6.5% of the Company’s assets by the end of 2022 and represents almost the total net loss of the Company for the year 2022. In terms of its financial position, Al Mazaya Holding Company has solid assets value amounting to KD 203.11 Million by the end of 2022, the vast majority of which are real estate assets. This supports the Company's directives and future plans to improve and strengthen the Company's financial position in response to the challenges facing the Company in this regard.

Dear Shareholders:

In that respect and according to the corporate governance rules, the board of directors of Mazaya Holding Company declares and undertakes the accuracy, integrity and credibility of the financial statements and all the reports submitted to the shareholders, which include all the financial aspects of the Company, including operational details and results.

Sisters and Brothers:

Allow me to present to you the Company’s achievements during last year, which were the result of the action plan that enabled the Company to achieve the desired operational results:

First: Exchange of Land Plots in the United Arab Emirates:

Al Mazaya Group had successfully concluded an agreement with the main developer of the WaterFront project in Dubai, United Arab Emirates, to exchange the land plots owned by one of Al Mazaya Group’s subsidiaries in the United Arab Emirates with better land plots as well as a credit note for acquisition rights of additional land plots in other districts of Dubai, as those plots are more distinct in terms of their location, ease of utilization or development as deemed fit to the Company. This had availed multiple options to Al Mazaya Group to benefit from such properties in order to enhance the Company’s financial position of the Company.

Second: Enhancing the Company’s operations by increasing the occupancy rates of rental projects and completing the projects under development:

The Company succeeded to achieve an occupancy rate of 100% for its current medical projects, represented in Mazaya Clinic 5 in Jabriya and Wara Hospital in Sabah Al Salem, as well as an occupancy rate of 98% in Clover Medical Centre in Jabriya, Mazaya Clinic 3 in Benid Al Gar Mazaya Clinic 4 in Hawally, Mazaya Clinic 6 in Salmiya and Mazaya Clinic 7 in Jahra, while Mazaya Towers had achieved an occupancy rate of 93% in Kuwait City and an average occupancy rate of almost 90% for other income generating projects of the Company in the countries where they exist despite the real estate market challenges in some of those countries, as we already stated earlier. This indicates the solid base and quality of the income generating assets of the Group.

Third: Entering new projects in the medical sector:

The Company was able to maximize the benefit from its experience in the healthcare sector, in the manner that promotes the optimum utilization of the available income yielding opportunities. The Company invested in a new project “Mazaya Clinic 8” in the medical sector during 2022 in Sabah Al Salem district, which is considered an integral part of Al Mazaya Clinics specialized chain in this vital sector that yields its fruitful results on the Company’s returns.

Finally, those achievements and well-studied steps by Al Mazaya had reinforced the balance of the cash flow during the current year and increased its operational profits, in addition to proceeding for a new phase which conforms with the challenges of the next years in accordance with sound, practical and scientific foundations.

Dear Shareholders:

At last, I would like to extend my heartfelt gratitude and appreciation to our valuable shareholders, for their confidence in us, and would like to thank every member of Al Mazaya team for their constant efforts exerted to promote the Company and its trademark, and to reach higher levels and achieve all the target goals, with the will of Allah The Almighty.

I wish you and Al Mazaya continuous prosperity and success.

May the peace, blessings, and mercy of Allah be upon you.


Brothers & Sisters

Distinguished Shareholders

Peace, mercy & the blessings of God be upon you all!

Today we present you with an overview of the operational and financial results that we achieved in 2017. It was a successful year during which Al Mazaya Holding continued to grow its operating revenues. Demonstrating the company's resilience and ability to continue to evolve is in line with its ambitious strategy to lead the market domestically and regionally by securing diversified and balanced sources of income.

Al Mazaya Holding has established its leading position in the real estate market through its outstanding property projects and impressive achievements in the development, construction, sale and delivery of several projects throughout the year.

Today, we present you with the annual report of your company for the financial year ending on 31 December 2017. Our review features a detailed breakdown of the financial results and a glimpse of the achievements by the company during the past fiscal year.

Because your satisfaction and the satisfaction of our customers is our top priority, we assure you that Al Mazaya is committed to delivering premium products, projects and real estate services year after year. We attribute this success and our march of excellence to the trust you have placed in us  to maintain Al Mazaya Holding's achievements, and to take further steps on the path to perfection.

My Fellow Shareholders,

Al Mazaya has a wide portfolio of real estate projects launched in line with international standards and criteria. Our top priority is our relationships with our investors that is governed by full transparency and disclosure, which provides our investors unrestricted access to the company's workings and operations.

Al Mazaya continues to strengthen its presence and competitiveness within the GCC and the Middle East through its active participation in real estate conferences and exhibitions to promote its brand and projects, reaching the largest segments of investors and customers.

Brothers & Sisters,

In 2017, Al Mazaya posted KWD 7.22 million in net profits, with earnings per share reaching 11.60 fils. We continued to boost operating performance thanks to an intensive focus on a robust operating plan that is based on a well-integrated strategy and a strict timeframe. The company’s total operating revenues increased to KWD 68.61million by the end of the year, which represents a growth of 24.36 % from KWD 55.17 million by the end of 2016. The group’s operational resilience is attributed to well-thought-out marketing and sales plans that secured sales revenues of KWD 60.83 million for 2017 against KWD 47.81 million by the end of 2016— a growth  of 27.22 %. Rental revenues increased by 6.80% to KWD 7.60 million by the end of 2017 against KWD 7.11 million for the same period in 2016

The company's vision of expansion and tapping into new markets, which started several years ago, has increased our total assets to  KWD 229.81 million at the end of 2017, with total stockholders' rights hitting KWD 119.11 million by the end of 2017.

The Board of Directors of Mazaya Holding consistently adheres to and recognizes the integrity and the credibility of the financial statements and the reports provided to the shareholders that covers the details of all the financial aspects and operating results of the company.

Valued Shareholders

Al Mazaya has been fully committed to apply the new accounting standards, calculating all essential provisions and selling all low-yield units on the back the company’s robust operational model. Its stable financial results from a determination to maximise its shareholders’rights, further strengthen its financial position, and protect the company’s budget against any future risks. This carefully-crafted and conservative approach has had its own bearing on the company’s net profit by the end of the year.

In a token of gratitude to its stockholders and a demonstration of our strong belief in recognising their contributions to the company’s growth, Al Mazaya Board of Director has recommended thedistribution of8 % of the par value of the stockin cash– equivalent to 8 fils per share to all shareholders in a move that reflects the robust financial position of the company and its resilient balance sheet as well as its balanced future outlook.

Noble Attendees

The year 2017 witnessed a series of achievements that we would like to present to you as they constitute quality projects that ideally fit within our ambitious strategy.

During the last year, we signed a new investment contract for managing the company’s third project in the medical sector after our previous success in the healthcare field.

Al Mazaya Holding was pre-qualified in 2017   for six new investment opportunities to develop and operate residential cities in Jaber and Sabah Al Ahmad areas for the Labor Camp Project in South Jahra.

With regards to our projects, the company has completed the development of a world-class medical building to serve as an individual health clinic in Sabah Al Salem. The project has totally been rented out to leading doctors in Kuwait.

Al Mazaya also developed and delivered four projects in Dubai in 2017, and acquired two plots of lands as part of the Q-Zone II project, located in theLiwan, Dubailand. Design and execution works have already startedfor the project. The company completed the concept design stage at its new project in Al Sharq area in Kuwait (Mazaya Downtown). Al Mazaya has achieved tangible progress for the Al Mazaya Residence project in Oman. We also continued the selling and renting of the  Ritim Istanbul Development. Al Mazaya Logistics project in Bahrain Investment Wharf has been totally rented out at a 100% occupancy rate. Al Mazaya Holding continued its rental operations at its commercial towers in Al Olia and Al Maathar areas, Riyadh.

Noble Shareholders,

We assure you that Al Mazaya Holding is moving towards a bright future. We thank God the Almighty and the virtue of your support to us. We will continue to advance Al Mazaya towards universality through the planned expansion into new markets in the near future. We will continue to work diligently on the development of existing and new projects, as per our innovative plans and in accordance with our in-depth studies.

Finally, I would like to extend my thanks and gratitude to all those who have contributed to these results and successes. I also take this opportunity to express my deep thanks and appreciation to the members of the Board of Directors and to all our colleagues at the company for their efforts and dedication.

May God's peace and mercy be upon you,

Rashid Yaqoub Al Nafisi