In the name of Allah, Most Merciful, Most Gracious
It is a pleasure for me and my brothers of the members of the Board of Directors and the Executive Management, to welcome you to the General Assembly meeting, thanking you for your presence and interest and I submit to you the annual report for the financial year ended on 31 December 2018
The financial results achieved by the Company in 2018 showed the strength of its financial position, the quality of its investments and the efficiency of its operation and that the Company is committed to moving forward with achieving the objectives through steady and deliberate steps aimed at maximizing shareholders' equity and profit growth. The year of 2018 was an extension of the right approach, the Company takes with the help of Allah Almighty and the efforts of the members of the management and executive management and all employees of the company
We summarize what have been achieved during the year ended on 31 December 2018
The year if 2018 witnessed a remarkable performance of the company as the Company's consolidated sales amounted to KD 14,741,495 compared to sales of KD 15,829,010 for the previous year at a rate of decline of 6.9% in light of the great competition inside and outside Kuwait as well as the global paper prices.
The consolidated net profit for the year ended on December 31, 2018 amounted to KD1,000,180 compared to the same period of the previous year amounted to KD 1,901,264.
The earnings per share for the fiscal year ended on 31/12/2018 were 10.08 fils per share compared to 19.16 fils per share during the same period in the last year. Taking into account that the book value of the share is 185 fils per share for 2018 compared to 192 fils per share for the previous year.
The total assets amounted to KD 23,399,142 compared to the previous year, which was KD 24,198,292.
The Shareholders' equity was 18,380,531 KD compared with 19,028,098 KD for the same period of the previous year.
The company has produced and manufactured 29,360 tons during the current year. On the other hand, exports still represent 67% of the company's total sales during 2018, which the management is keen to promote through maintaining its share in the various international markets despite the great competition. During 2018, the company was marketing its products from the small bag production lines (the food sector mainly) in Kuwait and the GCC countries, in addition to the initiative to enter international markets for competition. On the other hand, entering these markets requires us to upgrade the quality of production and maintain the level of Global Competition so we can get satisfactory shares in such markets.
The Board of Directors of the Company has decided to recommend to the General Assembly the approval of the distribution of dividends to shareholders registered in the Company's records at the end of the due date of 15 working days from the date of the General Assembly and distributed to shareholders after 5 working days from the maturity date after deduction of treasury shares, taking into consideration that this recommendation is subject to the approval of the competent authorities and the general assembly of the Company as follows:
- Distribution of 10% of cash dividend (i.e. 10 fils per share) (KD 992,377,670)
- The approval of the remuneration of the Board of Directors of the Board of Directors for the financial year ended on 31/12/2018 of the value of 30,000 Kuwaiti Dinar (thirty thousand Kuwaiti Dinar)
In conclusion, I, and my brothers the members of the Board of Directors extend our sincere greetings and appreciation to all those who contributed to the development of the Company's performance from all employees in the company and customers and suppliers. Thank God Almighty and my brothers members of the Board of Directors and Executive Management and the shareholders and all those who contributed to the achievements of the Company for the year 2018, asking God Almighty to always meet the satisfaction of the shareholders and we look forward to the year 2019 to be more positive and with more growth and prosperity.