Alafco reports net profit of KD7.8m
Alafco Aviation Lease and Finance Company reported a net profit of KD7.8m ($27.1m) for the 9 months of its current fiscal year that ended 30 June 2010.
Operating profit rose 45% to KD14.4m ($50m), while earnings per share reached 10.45 fils. The company's total assets increased 42% reaching KD480m ($1.7bn) and shareholders' equity rose 11% to KD103m ($353.3m) during the period.
In a press statement issued after the board meeting, company Chairman and CEO, Mr. Ahmad A. Alzabin, said the net profit is 7% less compared to same period last year. However, Alafco continues to deliver good results in accordance with its operating plan during these tough economic times. The company is confident to surpass the last year's net profit figure of KD$10.2 for the year ended 30 September 2010. The company continues to execute its plan of acquiring new aircraft from manufacturers and delivering them to airlines globally on long term leases.
Alzabin said during the current year Alafco successfully delivered total of 10 aircraft up to now, 2 Airbus A320-200 aircraft to Greek carrier Oylmpic Air, 7 A320-200 aircraft to Saudi Arabian Airlines and 1 A320-200 aircraft to Kuwait-based Wataniya Airways. He highlighted that financing during the first 9 months for the acquisition of new aircraft from local and international banks amounted to $350m. The ability to obtain financing to fund aircraft purchases in these times when liquidity is tight is a reflection of the confidence financiers have in Alafco's operations and its growth plan. Alzabin said Alafco is on track to reach a fleet of 59 owned and managed aircraft by the end of this year.
Alafco is a Kuwait-based aircraft leasing company and has been listed on the Kuwait Stock Exchange since October 2006. The company leases Airbus and Boeing aircraft to various airlines in Europe, Asia, Africa and the Middle East.