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May 25 , 2025

ÀÖ¾ºÌåÓýµÇ¼ƽ̨ Real Estate Company (URC), the real estate arm of KIPCO Group, held its Ordinary General Assembly Meeting for the financial year ending December 31, 2024. The meeting achieved a quorum of 79.96%.

During the assembly, shareholders approved all agenda items, including the Board of Directors' report and the external auditor’s report. The shareholders also endorsed the Board’s recommendation to distribute a 5% bonus share dividend through treasury shares, reaffirming the company’s strong financial position and its unwavering focus on maximizing long-term shareholder value.

Sheikha Bibi Nasser Al-Sabah, Chairperson of URC, reiterated the company’s commitment to advancing its growth strategy. She emphasized that URC remains dedicated to elevating service quality, enhancing customer experience, and maintaining a strong financial position. Sheikha Bibi further highlighted that expanding and optimizing the company’s asset portfolio remains a strategic priority, aimed at strengthening its capacity to deliver sustainable revenue growth and attractive returns to shareholders.

Mr. Mazen Issam Hawwa, Vice Chairman and Group CEO, added: “The year 2024 witnessed a number of notable achievements, as URC continued to deliver profitability for the third consecutive year, driven by our diversified and agile business model, which has consistently demonstrated resilience in the face of market fluctuations.”

He noted that the company remains focused on achieving sustainable profitability and enhancing the quality of its assets, both of which serve as fundamental drivers of operational efficiency across local and regional markets. Mr. Hawwa also pointed out that URC’s asset portfolio is approaching KD 1 billion in value, including assets currently under development through strategic partnerships.

He concluded by reflecting on URC’s distinguished legacy, emphasizing its longstanding commitment since establishment to delivering landmark projects that redefine real estate development standards in design excellence and innovation. These integrated urban communities, he added, have meaningfully contributed to improving the quality of life within the communities they serve.

Financial Performance

In 2024, URC recorded a net profit of KD 5.1 million, a 21.3% increase from KD 4.2 million in 2023. Gross profit increased to KD 31.4 million in 2024 compared to KD 27.2 million in 2023, an increase of 15.5%. Earnings per share for 2024 also increased to 3.9 fils compared to 3.2 fils for the same period last year, achieving a remarkable 21% growth.

The company’s total assets increased to KD 672 million in 2024, compared to KD 665.5 million in 2023. Shareholders’ equity grew by 6.7% to KD 196.4 million, compared to KD 184.0 million in 2023.

Operational Achievements

Operational performance recorded a marked improvement in 2024, underpinned by robust contributions from multiple business segments, particularly the hospitality sector, which achieved improved occupancy rates across most commercial assets. The Group’s contracting and facilities management subsidiaries also delivered solid operational and financial results, with consolidated revenues increasing to KD 88.6 million in 2024, compared to KD 87.3 million in 2023.

Mr. Hawwa confirmed that URC sustained steady operational momentum across both local and regional markets in alignment with its strategic plan and scheduled timelines. He noted that a key achievement in 2024 was the completion of the construction works for the residential components within the Hessah District, with unit handovers beginning in the second half of the year.

Among its subsidiaries, URC increased its stake in Insha'a Holding Company to 40%, with KIPCO retaining 60%. In 2024, Insha’a Holding announced a net profit of KD 1.25 million compared to KD 1.09 million in 2023. ÀÖ¾ºÌåÓýµÇ¼ƽ̨ Building Company (UBC) reported revenues of KD 6.3 million, with current contracts valued at over KD 30 million.

ÀÖ¾ºÌåÓýµÇ¼ƽ̨ Facilities Management (UFM) also continued expanding its operations in 2024, with revenues reaching KD 34 million compared to KD 30 million in 2023, and over 250 active contracts.

Sabah Al-Ahmad Project: Commitment to Environmental and Community Sustainability

In 2024, URC, through its wholly owned subsidiary Jiwar International for Land and Real Estate Management and Development Company, signed an agreement with the Public Authority for Housing Welfare to develop investment plots in Sabah Al-Ahmad Residential City. The project aims to deliver green spaces, commercial areas, and entertainment facilities designed in line with the highest standards of urban planning and development. Covering a total area of 35,000 square meters, the investment period for the project will extend over 20 years.

Commenting on the agreement, Mr. Mazen Hawwa described the (S5) investment opportunity as a strategic initiative that reflects URC’s capabilities, efficiency, and commitment to supporting Kuwait’s Vision 2035, which aims to create a sustainable environment for future generations. He emphasized that this project serves as a pioneering model for private sector participation in key government-led urban development initiatives, underscoring the company’s ongoing commitment to fostering environmentally integrated living spaces that enhance quality of life within the communities it serves.

Regional Projects

Regionally, the Waldorf Astoria Cairo Heliopolis hotel was officially inaugurated at the beginning of 2024 by Gulf Egypt for Hotels and Tourism Company, a wholly owned subsidiary of URC. Distinguished by its unique architectural character, the hotel offers an exceptional guest experience in Cairo, in line with the highest international hospitality standards. Nestled amidst beautifully landscaped green gardens, the Waldorf Astoria Cairo provides an elegant sanctuary and a refined luxury retreat for its visitors.

As part of its strategic objective to expand its investment portfolio and reinforce its presence in Egypt, URC is currently developing a comprehensive upscale resort in Sharm El Sheikh comprising no fewer than 220 rooms. This forthcoming project, to be formally announced soon, aligns with the company’s strategic vision of creating premium tourism destinations, in response to the continued growth in tourist arrivals, the rapid expansion of Egypt’s hospitality sector, and the increasing diversity of leisure and entertainment offerings, with a focus on delivering distinctive hospitality experiences that meet the evolving expectations of modern travelers.

In conclusion, Mr. Mazen Hawwa extended his sincere gratitude to all URC shareholders for their continued trust, to the company’s employees for their unwavering dedication and professionalism, and to the regulatory authorities for their ongoing support. He also conveyed his appreciation to URC’s valued clients for their loyalty, reaffirming the company’s steadfast commitment to delivering outstanding real estate projects and sustained long-term value.