Kuwait’s Alafco Q1 profit soars on one-time gains
Alafco aims for 100 aircraft fleet by 2015.
January 18, 2011 3:45 by Reuters
Kuwait’s Aviation Lease and Finance Co (Alafco) said it posted a nearly 10-fold jump in first-quarter net profit after earning a one-time revenue of 20 million dinars ($71 million).
Net profit in the three months to Dec. 31 came in at 21.8 million dinars, up from 2.3 million dinars in the year-earlier period, Alafco said in a statement on Tuesday.
“The sharp increase in profit … was due to amendments to some contracts that contributed additional one-time revenue of around KD 20 million,” the statement said.
“The results reflect the company’s performance and are in synergy with our plans, and they provide a good sign for continued growth in profits,” Chairman Ahmad Alzabin said in the statement.
Alafco’s financial year begins in October.
Alafco, in which Islamic lender Kuwait Finance House and state-owned Kuwait Airways are the biggest shareholders, said it plans to reach a fleet of 100 aircraft by 2015.
The firm said that it was able to secure about $185 million of financing from local and international lenders in the first quarter, which will be used for growth and expansion in the next period.
(Reporting by Eman Goma; Editing by Firouz Sedarat)