KFH Reports Net Profit Attributable to the Shareholders of KD 168.1 million for Q1 2025, Highest net profit in the Kuwaiti banking sector
KUWAIT CITY, Apr 22: Chairman of Kuwait Finance House (KFH) Hamad Abdulmohsen Al Marzouq announced that KFH achieved a net profit of KD 168.1 million for the first quarter of 2025 for shareholders, representing an increase of 3.2% compared to the same period last year, and an increase of 41.4% compared to the fourth quarter of last year.
Earnings per share for the first quarter of 2025 reached 9.77 fils; an increase of 3.1% compared to the same period last year.
Net financing income for the first quarter of the year reached KD 318.9 million; an increase of 21.1% compared to the same period last year.
Total operating income for the first quarter of the year increased, supported by an increase in all core activities to reach KD 454.9 million; an increase of 15.9% compared to the same period last year.
Net operating income for the first quarter of the year reached KD 295.7 million; an increase of 19.4% compared to the same period last year.
Financing receivables increased as of the end of the first quarter of 2025 to reach KD 19.3 billion; an increase of 1.1% compared to the end of last year.
Total assets increased as of the end of the first quarter of 2025 to reach KD 36.9 billion; an increase of 0.4% compared to the end of last year. Shareholders' equity amounted to KD 5.5 billion at the end of the first quarter of 2025.
Depositors' accounts increased as of the end of the first quarter of 2025 to reach KD 19.5 billion; an increase of 1.3% compared to the end of last year.
In addition, the capital adequacy ratio reached 19.38% which is above the limit required by regulators. This ratio confirms the solid capital base of KFH.
Sustainable profits
In a press release, Al Marzouq stated that KFH`s Q1 2025 growth in key financial indicators demonstrates the successful execution of the strategy approved by the bank`s Board of Directors. He further noted that this performance, achieved despite a complex operating environment and market shifts driven by regional and global economic developments, underscores the strength of KFH`s comprehensive and integrated business model. Al Marzouq added that the growth in all key financial indicators and balance sheet items confirms KFH`s progress in generating higher-quality and sustainable profits.
Al Marzouq highlighted that KFH`s financial performance demonstrates its consistent ability to grow profits sustainably. This success validates the effectiveness of KFH`s efforts at every level in attaining its objectives. These objectives include boosting profitability, sustaining high growth, rationalizing expenses, elevating service quality, embracing technology and digitization, and enriching customer interactions through well-defined and carefully managed approaches, rigorous and measurable professional standards, and the capacity for prompt and effective responses to market changes. Furthermore, these efforts take into account increasing competition and evolving customer expectations.
He also commended the experienced management for their skill in navigating the business environment and boosting confidence in the bank.
Giant banking entity
Al Marzouq explained that the expansion abroad had gained significant momentum and brought about a qualitative transformation in KFH`s growth strategy, turning it into a substantial banking entity with a presence in eight countries worldwide. These notably include Kuwait, Bahrain, Egypt, Turkey, the UK, and Germany, supported by an extensive network of over 600 branches. He also noted that KFH continues to lead all banks and companies listed on Boursa Kuwait, with a current market capitalization near to KD 13 billion.
"KFH`s recently launched "Beyond Horizons" visual identity reflects the bank`s substantial growth, achievements, global reach, and future ambitions. This new identity also underscores KFH`s ongoing commitment to technological advancement, digital innovation, and its leading position in Islamic finance," he added.
Supporting the national economy
Underscoring KFH`s pioneering position, Al Marzouq stated that the bank will maintain its support for the Kuwaiti market and national economy. This includes providing financing to corporates within established credit guidelines, as well as its continued focus on corporate banking, corporate and retail financing. KFH actively collaborates with relevant authorities to support and finance small and medium-sized enterprises (SMEs). Recognizing the vital role of these businesses in Kuwait`s economy, job creation, and youth employment, KFH holds the largest SME financing portfolio in the market by the number of beneficiaries.
Green Sukuk
Al Marzouq highlighted KFH`s ongoing commitment, via its investment arm KFH Capital, to issue more Sukuk for both governments and companies globally. He also stressed a particular focus on green Sukuk, aligning with KFH`s broader strategy for sustainability and the adoption of ESG standards.
Social leadership
Highlighting KFH`s significant societal impact, Al Marzouq noted the progress achieved through numerous strategic social contributions recently. Key initiatives include a KD 15 million pledge to establish a cardiac center at Mubarak Al-Kabeer Hospital in partnership with the Ministry of Health, and a KD 2 million donation to the Ministry of Social Affairs` debt relief campaign. Previously, KFH also contributed over KD 20 million to settle insolvent individuals` debts in collaboration with the Ministry of Justice.
KFH Group Chief Executive Officer, Khaled Yousef AlShamlan
Solid financial position
KFH Group Chief Executive Officer, Khaled Yousef AlShamlan stated that the Q1 2025 financial indicators demonstrated balanced performance and significant financial strength, showing notable improvements in solvency and growth compared to the same period last year. He added that increased and diversified operating income, along with solid performance across most balance sheet items, highlight the Group`s creditworthiness, reliability, and diverse avenues for future growth and expansion.
Diverse financing streams
AlShamlan highlighted the successful issuance of a 5-year, US$1 billion Senior Unsecured Sukuk under KFH`s US$4 billion Sukuk Program. This issuance aims to finance KFH`s operations and diversify its funding sources. Furthermore, it will enable KFH to increase its financing and investment capabilities, support infrastructure projects and local productive economic sectors, and assist customers with their regional and global expansion plans.
Qualitative digital solutions
AlShamlan stated that KFH is focused on increasing its market share and improving service quality by consistently offering qualitative and competitive digital solutions through KFHOnline (both mobile and web), XTMs, and KFH Express. He detailed that KFH offers about 200 electronic services, including online payments, online account opening, instant printing of all bank card types, gold trading, opening deposit and account, instant cheque and card printing, and QR code-based cardless withdrawals via mobile, along with many other financing and banking services that are quick, simple, and secure.
Human resources are central to achieving success
"KFH underscores the paramount importance of its employees, actively working to boost their skills, performance, and academic and professional growth. Viewing them as central to its success, KFH remains committed to fostering their innovation in services and solutions that improve customer experience, exemplified by the annual "Innovation Challenge". Moreover, to foster employee development, KFH offers educational scholarships alongside extensive in-class and online training programs. KFH also focuses on nurturing Kuwaiti youth for leadership roles, empowering them to drive development," AlShamlan said.
He pointed out that KFH is keen on empowering human talents and competencies, noting that the bank celebrated over 230 outstanding staff members at the 2024 Qadha program company. This program, the first of its kind in Kuwaiti banking, has recently earned global recognition with a Gold Medal from the prestigious Brandon Hall Group for Best Advance in Employee Recognition Program at the global level.
Global recognition
In appreciation of its exceptional efforts, AlShamlan said that KFH received global recognition, scooping around 15 awards for the current year from world-class entities and institutions. Most notable of these awards are: 'Best Islamic bank in the Middle East' and 'Best Bank in Kuwait' from EMEA Finance Magazine. Additionally, KFH attained ISO 22301 certification for its Business Continuity Management Systems (BCMS), reflecting the bank`s proactive capacities and preparedness to face potential risks, in addition to its sustainability in operations and operational efficiency.
Thanks and appreciation
AlShamlan commended the support of the Board of Directors, the Central Bank of Kuwait and the regulatory authorities for supporting the banking sector. He also praised the efforts of Executive Management, all employees, partners, and stakeholders for their key role and stressed the continuous efforts to maintain KFH`s leading position locally and globally.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Kuwait Times
a day ago
- Kuwait Times
How people in Kuwait are offering Eid Al-Adha sacrifices in 2025
Ministry steps up inspections to prevent price manipulation in livestock markets KUWAIT: Eid Al-Adha sacrifices are taking many forms this year in Kuwait. Some residents spend on premium local breeds, others are opting for more affordable sheep, and many are choosing to send their offerings abroad, driven by the urge to support Muslims in need in crisis-hit regions. For many, the value of the act outweighs the cost of the animal. At one of the most popular livestock markets, Waleed Ahmed, a Pakistani expat, stood holding his receipt after purchasing Arabic Naeimi sheep, among the most expensive breeds available. 'It's not about the price,' he told Kuwait Times. 'This is a sacrifice. You choose the best you can afford because it's for Allah.' The Naeimi local breed, known for its rich flavor and tender meat, continues to be the top choice among many customers, especially Kuwaitis. 'The Arab Naeimi is between KD 170 to 180,' said Abdulaziz, a vendor at the market. 'It's always in demand. Kuwaitis prefer it because the meat is the best.' Waleed, though an expat, said he grew up with the love for its taste. 'The meat is rich and flavorful. I was born and raised in Kuwait, and this is the flavor I have always known.' Nearby, Jordanian customer Ehab Abu Obaid echoed the same sentiment. Vendors wait for customers at the livestock market. Sheep and goats are seen at the market. Sheep and goats are seen at the market. A man inspects sheep before buying it. Online sacrifice 'I only eat Arab meat,' he said firmly while negotiating with a vendor. 'It's what I was raised on. The seller won't budge below KD 170, but I'm buying it anyway.' Still, he acknowledged a shift in how many are giving: 'I know people who no longer sacrifice here because they just can't afford it. They donate online instead, especially to places like Gaza, where they feel the meat is more urgently needed.' Hashem is one of them. 'This year, I donated through Zakat House to Somalia. It cost me KD 40,' he said. 'They're facing famine, that's real need. In Kuwait, it's harder to find families who genuinely cannot afford meat.' Egyptian resident Saeed offered a similar perspective. 'I do the sacrifice in Egypt, where families are truly in need. In Kuwait, most people are better off and already have support,' he said. Indian resident Shakir has found a middle ground, sacrificing in India where prices are lower, while also doing one locally, as it's important for him to keep the tradition alive here too around his family. At your doorstep Adding to the range of options this year, a new service has emerged, some delivery apps are now offering home-delivery of sacrificial animals. Customers can order, pay, and receive their sheep right at their doorstep, adding a layer of convenience. At the market, Abdulaziz listed the price ranges for other lambs' options. 'If you want something cheaper, you go for the Somali at KD 60, or the Australian around KD 70 to 75,' he said. 'The Iranian or Shifali types are mid-range, around KD 115 to 120.' Due the wide price differences, he highlighted, 'Whoever wants something will find it for the price they're looking for. It just depends on the type and weight.' Vendor Abu Mustafa said prices typically peak in the days leading up to Eid, but drop slightly by the second day. Jordanian shopper Abo Ebeed was trying to beat the rush. 'I came early before the best sheep run out,' he said. Abu Mustafa noted a clear divide in preferences: 'Arab sheep are mostly bought by Kuwaitis, while Somali and Australian ones are more popular among expats.' For the Australian, he noted it is only sold by the AlMawashi slaughterhouse and through an early booking system. Inflated prices A source who preferred to stay anonymous, revealed to Kuwait Times rising buyers' frustration, noting that some sellers inflate prices or pass off lower-quality sheep as premium breeds. He stressed the importance of buyers educating themselves about the different livestock types, their distinguishing features, and fair pricing before making a purchase. In response to such concerns, the Ministry of Commerce and Industry announced on Tuesday that it has intensified inspection campaigns in livestock markets ahead of Eid Al-Adha. According to Faisal Al-Ansari, Director of the Commercial Control Department, inspection teams are conducting daily tours to monitor market activity, ensure price stability, and confirm that enough sacrificial livestock (Adahi) are available to meet demand. These campaigns are coordinated in advance with sheep importers to secure sufficient quantities and prevent price hikes, Al-Ansari told Kuwait News Agency (KUNA). He emphasized that the ministry is closely monitoring complaints, urging the public to report any violations. Their goal is to protect consumers, ensure transparency, and support both citizens and residents during the Eid season, he added.
Arab Times
2 days ago
- Arab Times
Jazeera Airways kicks off direct flights to Damascus from June 9
KUWAIT CITY, June 4: Jazeera Airways, Kuwait's leading low-cost carrier, announced the resumption of flights between Kuwait and Damascus, Syria, starting from 9 June 2025. This significant move marks the restoration of direct air connectivity between the two nations after a hiatus of over 12 years. Jazeera Airways previously served three destinations in Syria—Damascus, Aleppo, and Deir EzZoor—and is now returning to the Syrian capital to meet the growing demand for travel and reconnection. The relaunch of services to Damascus reflects the airline's commitment to serving over 200,000 Syrians in Kuwait, the second largest Middle Eastern community residing in the country. The service will launch with one daily flight, with plans to increase to twice-daily frequencies before the end of the summer travel season. The airline also plans to resume operations to other Syrian cities in line with anticipated market growth. The flights are currently open for booking with Jazeera Airways offering special promotional fares starting from just KD 95 one-way and KD 159 return— giving travelers an affordable opportunity to reconnect with Damascus. Barathan Pasupathi, Chief Executive Officer, Jazeera Airways commented, 'We are pleased to restart flights between Kuwait and Damascus, a route of immense importance to thousands of Syrian nationals living and working here. This development goes beyond simply restoring air travel—it represents a renewed bridge of connectivity that links families, communities, and opportunities. By reinstating this vital service, we are not only supporting the strong and vibrant Syrian community in Kuwait but also reinforcing the deep historical, cultural, and economic bonds between our two nations. We are deeply grateful to all stakeholders in both Kuwait and Syria who have partnered us in establishing the direct connectivity between Kuwait and Damascus.' With this development, Jazeera Airways reaffirms its role as a key enabler of regional connectivity and a committed partner to diverse communities across its network.
Arab Times
2 days ago
- Arab Times
Citizen blasts opaque debt campaign, files court case
KUWAIT CITY, June 4: The Court of First Instance received a new case filed by a Kuwaiti citizen who has demanded full disclosure of the distribution and beneficiaries of donations totaling millions of dinars collected by the national campaign for refunding debtors' loans. Lawyer Reem Al-Baghdadi, representing the aggrieved citizen, requested detailed information on debt repayment records, the disbursement process, and the list of beneficiaries. She explained that her client was extremely surprised to be excluded from the current debtors' campaign beneficiary list, despite not having applied for any previous campaigns. An investigation revealed that the committee overseeing one of the previous campaigns had paid the government a fee of KD 10 owed by the citizen, based on a request from the Ministry of Justice. Her client was unaware of this payment and that his name had been included in the previous campaign's beneficiary list without his knowledge. Despite being able to pay the KD 10 fee himself, he applied to register in the latest campaign due to a large debt he could not afford to repay. Lawyer Al-Baghdadi emphasized that the purpose of this lawsuit is to clarify the mechanisms of the debtors' campaigns, ensuring transparency and fairness so that aid reaches those truly entitled to it based on clear and just criteria.
