On behalf of my brothers, members of the Board of Directors and Executive Management, I am pleased to welcome you to the meeting of the General Assembly of the company. I thank you for your presence and appreciate your interest, and to put in your hands the annual report for the fiscal year ending on December 31, 2022.
Dear Shareholder Brothers.
The financial results achieved by the company during the year 2022 showed the strength of its financial position, the quality of its investments and the efficiency of its operation, and that the company is committed to moving forward in achieving the goals through steady and deliberate steps aimed at maximizing shareholder rights and profit growth. The year 2022 was an extension of the correct approach that the company is following, thanks to Allah and the efforts of the members of the Board of Directors, the executive management and all employees of the company.
We summarize for you what was achieved during the year ending on December 31, 2022
The year 2022 witnessed a distinguished performance for the company by achieving the best rate in the total operating profit, as the company's consolidated sales amounted to 14,542,615 KD, compared to sales amounting to 12,841,695 KD for the previous year, i.e. a growth rate of 13.25% compared to last year, as the total operating profit for the current period amounted to an amount The capacity of 2,601,690 KD compared to the amount of 2,393,144 KD, i.e. a growth rate of 8.71% over last year in light of the intense competition inside and outside Kuwait and the gradual increase in paper prices globally.
The company's consolidated net profits in the fiscal year ending on 31/12/2022 amounted to 1,345,017 KD, compared to the same period of the previous year, when it was 1,341,388 KD, i.e. a growth rate of 0.27% for 2021.
Despite the decline in the local operating environment and the weakness of economic activity in general, which was witnessed during the past year at the regional and global levels due to the political and social unrest in the region and the exacerbation of the global financial crisis.
Earnings per share for the fiscal year ending on 31/12/2022 became equivalent to 13.55 fils per share compared to 13.52 fils per share, i.e. a growth rate of 0.27% over 2021.
Note that the book value of the share is 188 fils per share for the year 2022 compared to 187 fils per share for the previous year.
The total assets amounted to 23,913,123 KD compared to the same previous year, where it was 23,309,101 KD, i.e. a growth rate of 2.59% compared to last year.
Shareholders' equity amounted to KD 18,663,410 compared to the same period of the previous year, when it was KD 18,527,523, a growth rate of 0.73% over the previous year.
The company produced and manufactured 18,297 tons for the current year, and on the other hand, exports still represent the equivalent of 60% of the company's total sales during the year 2022, which is something that the management is keen to enhance by maintaining its share in the various global markets despite the fierce competition. During the year 2022, the management worked on marketing its products from the small bag production lines (mainly the food sector) in Kuwait and the Gulf Cooperation Council countries on the one hand, in addition to the initiative to enter global markets for competition, on the other hand, as entry into those markets requires us to improve the quality of production and maintain the global competitive level in order to be able to obtain satisfactory shares in those markets.
The Board of Directors of the company decided to raise the recommendation to the General Assembly to approve the distribution of dividends to shareholders, to the shareholders registered in the company's records at the end of the due day specified for it 14/05/2023, and it is distributed to the shareholders entitled to it on 21/05/2023, after deducting the treasury shares, noting that this recommendation is subject to the approval of the competent authorities and the general assembly of the company as follows:-
In conclusion, I and my brothers, members of the Board of Directors, present our sincere greetings and appreciation to everyone who contributed to the development of the company's performance including all employees, customers and suppliers. And I thank Allah the Almighty, my brothers, members of the Board of Directors, executive management, honorable shareholders, and everyone who contributed to the company's achievements for the year 2022. We ask Allah the Almighty to always be at the good expectations of our honorable shareholders. We look forward to the year 2023 being more positive, growing and prosperous.
Saleh Omran Abdullah Kanaan
Chairman of Board of Directors