Annual Report-2009

Chairman and Managing Director Message

Dear Shareholders:

I warmly welcome all of you on behalf of myself, my colleagues in the Board of Directors and the executive administration of the National Industries Company. I am pleased to present to you the Annual Report for the financial year ended on 31st December 2009.

The fiscal year 2009 was a good operational period for the company during which KD 10 Million operational profit was achieved compared to KD 8 Million in 2008, an increase of 25%. However, the decline in the market value of the investment assets led to KD 2.6 Million net loss, equivalent to 8 Fils per share. Despite that, shareholders equity increased to KD 72.3 Million compared to KD 70.6 Million in 2008 and also the book value per share increased from 204 Fils in 2008 to 209 Fils per share in 2009.

We are looking forward for 2010 as a prosperous year, during which the company shall have overcame the international financial crisis effects, on one hand, and shall experience a positive increase in sales on the other hand. This is due to several factors including promising Government development plans, anticipated increase in the construction activities in non governmental sectors, capacity increase in our existing facilities and the new completed production facilities such as the new interlock tiles factory in Kuwait, insulated brick factories in Riyadh and Jeddah, HDPE pipe factory in Oman and partially the ceramic factory which is expected to start production in the 3rd quarter of this year.

In light of this year's financial results, the Board of Directors have recommended in the meeting held on Wednesday, 03.10.2010, to propose to the General Assembly not to distribute profits for the Financial year ended on 31.12.2009.

In this regard we are pleased to extend our thanks and gratitude for the endless support by our shareholders in general and to the National Industries Holding Group in particular. Also thanks are extend to all the company's staff for their dedicated efforts to achieve good results and looking forward for more contributions creativity and initiative to attain our aims in the coming years.

Finally, I hope that we have succeeded in the Company's development and to maximize the shareholders equity and looking forward for better results in the coming years.

Download NIC 2009 Annual Report (PDF)