Page 5 - 2023 Auunal Report - EN

4 ANNUAL REPORT 2023

Board of Directors Report

Message From
CHAIRMAN

Mr. Rashid Al Nafisi
Chairman

’’ Sisters and Brothers
Our valuable shareholders

May peace and blessings of Allah be upon you, ’’

We would like to welcome you again in our first meeting for the new year, and pray to Allah the Almighty to grant us and you all good-
ness and success, and for the next stage in Al Mazaya Company journey to be a transformation stage towards new horizons through
which we look forward to raising the business standard of the Company on all the administrative, operational and financial scales.
Our valuable audience:
During the year 2023, Al Mazaya Holding Company witnessed various events which impacted the Company’s results of operations
during the year, for which we were able, with the blessings of Almighty Allah to find strategic solutions consistent with those con-
ditions and addressed some of them, whereby we came out with the required operational success in 2023. Further, we were able
to secure the liquidity requirements and preserve the strength it’s the Company’s financial position and its cash flows as well, with
full determination to meet the Company’s financial obligations towards all banks, contractors, and suppliers in order to prepare the
Company for a new launch for the upcoming years.

Ladies and Gentlemen:
In this respect, we are pleased to present the annual report of your Company for the fiscal year ended on 31 December 2023 to you,
in which we will, present a quick summary of the most significant achievements of the Company on the operational and fiscal levels.

During 2023, and with the blessings of Allah the Almighty, Al Mazaya Company had achieved total operational revenues of almost
KD 15.92 million by the end of 2023 compared to KD 15.69 million in 2022 due to the sales and lease operations of the Company
during the year. Revenues from rental operations had amounted to KD 12.61 million by the end of 2023 compared to KD 11.59
million in 2022, with an increase of almost 9% which resulted in gross profits from rental operations of KD 10.55 million by the end
of 2023 compared to KD 9.64 million in 2022 with an increase of almost 9%. Furthermore, the Company had achieved operational
profits of almost KD 7.53 million compared to operational losses in 2022 amounted to (KD 3.98) million, resulting in a significant
improvement of almost 289% compared to last year. Despite this success and growth on the operational level, the exit from the
Company’s investment in the Republic of Turkey had resulted in the reclassification of the foreign currency translation losses from the
foreign operations which relates to the disposed subsidiary in the Republic of Turkey in addition to the goodwill impairment related