KUWAIT: Al-Safat Investment Company announced exceptional financial results for the first quarter of 2025, with net profits surging to more than KD 4.6 million — a growth of over 2,568 percent compared to the same period in 2024. This reflects the success of the company’s investment strategy and the restructuring of its financial portfolio.

On this occasion, the company’s Chairman Abdullah Hamad Al-Terkait stated that Al-Safat’s positive shift was achieved thanks to the efforts of the team at all levels, working in an integrated and comprehensive manner over the past period to enhance the company’s operations. By the end of Q1 2025, the company’s total assets reached KD 48.8 million, compared to KD 43.7 million in the period ended 2024, while shareholder equity KD 34.9 million.

Strategic transformation

Al-Terkait explained in a press statement that, aside from recovering financial rights, the company’s growth is the result of a comprehensive strategic transformation plan initiated in mid-2024. This included restructuring the asset portfolio, exiting unprofitable investments, and investing in high-growth sectors, in addition to improving operational efficiency and liquidity management. He noted that the company’s sustainable growth plan includes several key strategic directions:

Expanding client services by enhancing communication channels, offering personalized and innovative investment solutions, and broadening the investor base of individuals and institutions. Launching new investment divisions focused on alternative assets, direct investments, and sustainable projects, with plans to establish specialized funds in Gulf markets.

Exploring acquisition and asset merger opportunities locally and internationally to maximize returns and diversify income sources. Gradually exiting non-performing assets and redirecting their value to economically viable investments.

A new phase

Al-Terkait affirmed that “the Q1 results mark the start of a new phase of growth based on efficiency, innovation, and openness to promising markets,” stressing that Al-Safat is on a confident path to becoming one of the region’s leading investment companies in the coming years. He added, “Al-Safat’s Q1 performance confirms that the company is on track to achieve its ambitious goals through effective management, a clear expansion vision, and dynamic engagement with market changes.” He expects the company to maintain strong performance in upcoming periods, supported by shareholder trust and the expertise of its executive team.

Challenges and opportunities

Al-Terkait noted that the recent period was filled with both challenges and opportunities, during which the company restructured its investments and implemented several financial and operational initiatives that strengthened its position in the investment sector. He emphasized that the company’s forward-looking vision and strategic goals will lead to sustainable growth and increased shareholder value amid an ever-changing economic environment requiring continuous adaptation to local and global challenges.

Key milestones

He highlighted that the company maintained business stability and achieved major milestones, including exiting its investment in the Middle East Chemicals Manufacturing Company through a subsidiary. He also noted that Al-Safat successfully completed the transfer of all “Cap Corp” investments after securing all regulatory approvals and settling legal disputes related to the company.

In a step reflecting its commitment to protecting shareholder rights and maximizing returns, Al-Safat finalized all negotiations for a financial settlement with UAE-based Evolvence and Khalid Salem Al-Muhairi. The total settlement was valued at AED 160 million, with the company receiving the first installment of AED 60 million, which will positively impact Q1 2025 financials.

Future outlook

Al-Terkait stated that Al-Safat Investment aims for sustainable growth through a comprehensive strategy focusing on seizing promising investment opportunities and strengthening its investment position via diversification and expansion across various promising channels and sectors. Their outlook includes both local and international markets, as well as domestic partnerships aimed at boosting investment liquidity and enhancing professional expertise, all of which contribute to risk diversification — and reduction — to ensure maximum financial returns for shareholders.

As part of its clear strategy, the company also plans to continue exiting investments that have reached their intended duration, while wisely deploying capital into projects compliant with Islamic Shariah principles. Al-Safat also seeks local expansion by entering new markets and exploring innovative investment sectors that support its development strategy. In this context, the company will research, study, and introduce new investment products tailored to meet changing market demands.

• Focus on restructuring the asset portfolio and exiting non-performing investments

• Improving operational efficiency and liquidity management

• Expanding customer services through communication and innovative solutions

• Q1 results mark the beginning of a new phase of growth with competence and confidence

• Financial settlement with UAE-based Evolvence yields positive returns