The chief financial officer of Kuwaiti Mezzan Holding Company, Nabil bin Ayyad, said the company is trying to reduce high import and supply costs through a proactive events policy.
In an interview with the “Al Arabiya” channel, he added: “All material prices prime they increased with rates ranging from 25 to 35% and these increases are faced by all companies without exception, and not by Mezzan Holding alone “.
The net profit of the Kuwaiti company “Mezzan Holding” grew by about 7% in the third quarter of quest’year, compared with the same quarter last year, to reach 2.3 million dinars.
Specifically, Bin Ayyad said that the company’s shipping prices have increased by more than 35%, according to supply regions, and the company has not passed these increases to markets, as it is looking to go to in-house solutions and limit the increase in prices.
He pointed out that the material price rises prime are confirmed by all economic indicators and that they will continue to rise at the same rate, and this has led to a slight decline in profit margins, and the company is also addressing these increases by changing the packaging and packaging materials and checking the internal cost of production.
Regarding the growth rates achieved by the company, he said: “There is a growth of 12.5% in Saudi Arabia, by 20% in Jordan and 18.5% in sales in the UAE market with the return of schools and the return of life to normal, and this is a positive effect. “
By the end of the first nine months of quest’year, the net profit of Mezzan Holding Company decreased by 7.2% to 9.5 million dinars, while revenues for the first nine months decreased by 1.6% to 191 million dinars.
The company attributed the decline in earnings since the start of the year to problems in international supply chains and a need to adjust to rising inflation.
Read More About: Business News
