- Shareholders approved the Board of Directors’ recommendation to distribute cash dividend of 12 fils per share deducted from retained earnings
- Shareholders approved the Board of Directors’ recommendation to increase Board seats to 7 seats during the extraordinary general assembly meeting
Kuwait, May 15, 2022 — Mezzan Holding KSC, one of the largest manufacturers and distributors of food, beverage, FMCG, and pharmaceutical products in the Gulf, held its 22nd Annual General Meeting (AGM) of Shareholders on Sunday, May 14, 2023, in Kuwait. Shareholders approved the Board of Directors’ recommendation to distribute cash dividends for the fiscal year ended on December 31, 2022, of 12% of the nominal value of the share (12 fils per share) deducted from retained earnings. The meeting had an electronic attendance rate of 11.06% and a physical attendance rate of 87.30%, which resulted in a combined attendance rate of 98.37% out of the company’s total capital after deducting treasury shares.
In an extraordinary general meeting held after the AGM, shareholders also approved a board recommendation to amend Article (13) of the Company’s Memorandum of Association, to increase the number of board members from five to seven seats.
Mezzan Holding Vice Chairman Mohammad Jassim Al Wazzan said: “Mezzan was able to maintain its performance with reliability, flexibility, and sustainable growth, while navigating another year filled with economic and geopolitical challenges. Although these negative impacts continue to put pressure on profitability, especially due to unprecedented input cost increases. Mezzan continues to manage costs robustly, improve its product portfolio, and develop its sales and distribution channels to ensure its leading position in its operating sectors. Finally, I would like to express our appreciation to the company’s management and employees for their efforts throughout the year, as well as to the various regulatory authorities for their cooperation.”
FY 2022 Financial Performance Review:
In 2022, Mezzan Holding achieved a 4.1% increase in revenue on an annual basis, with revenues reaching 255.2 million Kuwaiti dinars compared to 245.1 million in 2021, an increase of 10.1 million Kuwaiti dinars. This was driven by the revenues of the Food Business Line, where the Manufacturing and Distribution division increased by 9.2% and Services Division increased by 1.4% and the Industrials division under the Non-Food Business Line increased by 11.9%. These increases were offset by a decrease in the results of the Catering Division under Food Business Line, and FMCG and Pharmaceuticals division under the Non-Food Business Line, whose revenues declined by 2.4% and 1.7%, respectively.
FY 2022 Financial Highlights:
- Revenue: KD 255.2 million, up 4.1%, driven by the growth in by Mezzan’s Food Manufacturing & Distribution division
- Operating Profit KD 1.53 million, down 86.3% from the previous year
- EBITDA: KD 11.6 million, down 46.9% from the previous year
- Net Profit to Parent Company Shareholders: The group recorded a net loss of KD 1.96 million, down 123.3% as a result of lower gross profit and the booking of a provision for credit losses
- Total Assets: KD 272 million, up1.7%
- Total Liabilities: KD 160.7 million, up 9%
- Shareholders’ Equity to Owners of Parent Company KD 102.7 million, up 7.8%
(ENDS)