RIYADH, 23 January 2008 — Kingdom Holding Company (KHC), under the chairmanship of Prince Alwaleed bin Talal, recorded a SR1.2 billion net income in 2007, or a 25 percent increase over the preceding year, while the fourth quarter results exceeded by 13 percent that of the 2006 period.
Consolidated revenues for the three months and the year ended Dec. 31, 2007 posted SR1.8 billion and SR7.3 billion, respectively, the company said in a statement yesterday. Net income after minority interests of consolidated subsidiaries in the last three months of 2007 reached SR255.7 million, it said.
KHC continued to realize excellent gains from its hotel operations through their majority-owned subsidiaries which include Kingdom Hotel Investments, and its hotel management subsidiary Fairmont Raffles Hotels.
The holding company’s other 45 percent owned management company, Four Seasons, realized increased profits resulting from management fees due to improved occupancy and revenue per occupied room.
“Kingdom Holding Company is poised to enhance the economic development of Saudi Arabia and increase shareholder value,” Alwaleed said. In the Kingdom, KHC is continuing its development plans for their landmark project in Jeddah and its real estate development north of Riyadh.
The Jeddah project has an area of 5.3 million square meters and is located in the city’s northern area on the Red Sea coastline, a strategic area for the development of this project.
The investment project will comprise of a colossal skyscraper with a surrounding area for other facilities (residential, commercial, construction of a five star hotel and offices). The project will also connect the Red Sea coastline of the area to Sharm Obhur. In the last three months of 2007, the company acquired an additional area of approximately 1.2 million square meters adjacent to the existing land under development.
KHC’s other real estate project in Riyadh consists of 16.7 million square meters. It is located on the Dammam highway and 15 minutes drive from the city center. Among other facilities, the project will include a leisure resort and facilities managed by Four Seasons Hotels and Resorts with an area of 1 million square meters.