Global values ACICO Industries Company stock at KD 0.484 and recommends "HOLD" on the stock.Summary: Global Investment House -- Kuwait- ACICO's net income fell by 70.4% in 2008 to reach KD6.5mn from 2007 levels of KD22.1mn. The drop in earnings was due to the fall in the financial and real estate markets, which caused ACICO's non-operating income to drop significantly. The change in fair value of investment properties, which fell from KD18.7mn in 2007 to less than one million Kuwaiti Dinars Noun 1. Kuwaiti dinar - the basic unit of money in Kuwait; equal 1,000 fils dinar Kuwaiti monetary unit - monetary unit in Kuwait Kuwaiti dirham, dirham - worth one tenth of a Kuwaiti dinar; equal 100 fils in 2008, was the major non-operating account that caused such a decline in the net income. Global Investment House -- Kuwait- ACICO's net income fell by 70.4% in 2008 to reach KD6.5mn from 2007 levels of KD22.1mn. The drop in earnings was due to the fall in the financial and real estate markets, which caused ACICO's non-operating income to drop significantly. The change in fair value of investment properties, which fell from KD18.7mn in 2007 to less than one million Kuwaiti Dinars in 2008, was the major non-operating account that caused such a decline in the net income. Total assets grew by 8.2% from KD187.5mn in 2007 to cross the KD200mn mark. This growth followed a substantial increase in assets in 2007 and 2006 by 72.0% and 35.7%, respectively. Overall, return measures and margins dropped significantly in 2008. Gross profit margin Gross profit margin Gross profit divided by sales, which is equal to each sales dollar left over after paying for the cost of goods sold. gross profit margin A measure calculated by dividing gross profit by net sales. declined slightly in 2008 to reach 13.7%, as compared to 16.8% in 2007. It has been in a decline trend since 2005 when it was 30.5%. On other hand, net profit margin dropped significantly from 51.7% in 2007 to reach 9.7% in 2008. The drop in net profit margin was higher relative to the drop in gross margin, due the decline in non-operating income. Return on average assets (ROAA ROAA Return on Average Assets (business, banking, accounting) ROAA Rural Oregon Arts Association ROAA Royce Online Account Access (Royce Fund Services, Inc. ) experienced the same pattern as return margins, when it fell from 14.9% in 2007 to reach 3.3% in 2008. Besides, return on average equity (ROAE ROAE Return on Average Equity ) was 8.9% in 2008, as compared to 34.1% in 2007. Net income in the 1H2009 fell by 38.8% to reach KD4.1mn, as compared to KD6.8mn in 1H2008. Even though operating revenues operating revenue Revenue from any regular source. Revenue from sales is adjusted for discounts and returns when calculating operating revenue. Compare other revenue. almost doubled from KD15.1mn in 1H2008 to record KD30mn in 1H2009, the decline in bottom line can be attributed to the non-recurring profit from discounted operation made in 1Q2008 amounted to KD1.2mn.The rental income Noun 1. rental income - income received from rental properties income - the financial gain (earned or unearned) accruing over a given period of time jumped dramatically from KD0.5mn in1H2008 to reach KD2.9mn 1H2009. 2009 Al Bawaba (www.albawaba.com) 2009 Al Bawaba (Albawaba.com) Provided by Syndigate.info an Albawaba.com company |
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