Mubasher: National Real Estate Company (NREC) achieved a net profit of KWD 10.8 million during fiscal year 2018, while its earnings per share (EPS) stood at 7.71 fils, according to a press release on Tuesday.

NREC recorded an increase of 22% in its EBITDA to KWD 25 million in FY18 compared to the previous fiscal year.

Operating revenues amounted to KWD 21.6 million, endorsed by the company’s projects in Egypt and the UAE.

“NREC focused in 2018 on the development of its two landmark projects, Reem Mall in Abu Dhabi and Grand Heights in Egypt. These projects have started generating revenue from sales and confirmed lease, enabling the Company to grow and diversify sources of operating cash flow in the next years,” NREC vice chairman and CEO Faisal Jamil Sultan Al Essa said.

Developing properties of a value surpassing $2 billion in the Middle East and North Africa (MENA) region, NREC has total assets of KWD 478 million by the end of FY18 and shareholder’s equity attributable to the parent company of a total KWD 258 million.

Al Essa added, “Revenues were also driven from our existing assets across the region, mainly from rental income from properties owned in Kuwait, Jordan, and Libya, in addition to positive earnings announced from our associate.”

The CEO noted, “The company also ended the year with a better cash position as part of its plan to decrease debt below KWD 100 million. NREC completed the conversion of KWD 31 million in debt into shares owned by Agility Investment Holding Limited Company in the Company’s capital, enabling us to work closely with a leading group such as Agility to support our strategy for growth. Some of the assets were also sold, enabling the Company to focus on its larger projects as they come on line. By year-end, NREC had reduced its overall debt by a total of KWD 49.7 million through the sale of assets and the loan conversion to equity.”