Esterad Reports a 19% Increase in Net Profit Attributable to Shareholders for the First Nine Months of 2024
Esterad Investment Co. B.S.C. (“Esterad” or “the Company”) (Trading Code: ESTERAD) today announced its financial results for the third quarter of 2024 (“the quarter”) and first nine months of the year (“the period”) ending September 30, 2024.
Net profit attributable to shareholders was BD1,001,936 for the third quarter of 2024, compared to BD873,100 for the same quarter in 2023, an increase of 15%. Enhanced profits were a result of income generated from the Company’s investment activities and growth in returns from its real estate and private equity portfolios. Earnings per share for the quarter was 6.5 fils compared with 6.0 fils in the third quarter of last year. Total comprehensive income attributable to shareholders amounted to BD836,421 in the third quarter of 2024 compared with BD319,035 in the same quarter of last year, an increase of 162%. Total income for the third quarter was BD2,737,180 compared to BD1,259,752 in the third quarter of 2023, up 117%. The solid increase resulted from income generated from key assets within the Company’s recently acquired diversified global listed and private equity and real estate portfolio.
For the nine-month period ended 30 September 2024, Esterad reported net profit attributable to shareholders of BD2,323,582, compared to BD1,947,457 in the prior-year period, an increase of 19%. Earnings per share for the first nine months of 2024 was 15.1 fils compared with 13.3 fils in the first nine months of 2023. Total comprehensive income attributable to shareholders amounted to BD1,691,731 for the period, an increase of 68%, compared with BD1,009,120 for the corresponding period of 2023. Total income for the nine-month period was BD7,431,925 compared to BD3,067,863 in the first nine months of 2023, up 142%.
Total equity attributable to shareholders at 30 September 2024 was BD39,692,591 versus BD40,198,706 at 31 December 2023, a decrease of 1%, mainly due to the significant 20% dividend distributed by the Company for 2023. Total assets increased by 3% to BD123,763,595 at 30 September 2024, compared to BD119,858,511 at 31 December 2023.
Commenting on the results, Mr. Ahmed Abdulrahman, CEO of Esterad, said, “We are delighted to report strong performance and growth across both the top and bottom lines for the third quarter and first nine months of 2024. For the nine-month period, net profit attributable to shareholders increased by 19%, and income grew substantially by 142%. These results underscore the momentum in our business and our sustained growth trajectory. We are proud of the tangible improvements following the recent restructuring of our portfolio of diversified global private equity and real estate assets, which has enabled us to accelerate value creation and enhance returns.”
“Esterad Bank also made important strides, progressing towards the completion of its first major global transaction since our acquisition and restructuring of the Bank. This is one of several strategic deals in our pipeline and is in line with the overall strategy of building and scaling the Bank’s assets under management. The Bank will continue to work towards structuring and offering investment products to high-net-worth individuals and institutional investors and is currently completing new acquisitions in the US markets.
Mr. Abdulrahman added, “Amwaj Beachfront, our flagship real estate development project in Bahrain, also continued to attract strong interest from local and regional investors. In the third quarter, we launched Phase 2 sales, comprising 245 state-of-the-art apartments in the project’s West Tower. Over a quarter of these properties have already been sold, highlighting the unique nature of the project and the exclusive waterfront lifestyle we are creating. Further testament to the project’s appeal, as announced in the fourth quarter, is a landmark agreement with Sunset Hospitality Group to bring its METT Hotel & Residences, ISOLA Beach, and RAISE Fitness brands to Amwaj Beachfront. This includes 220 keys, branded villas, and residences that will elevate the project’s luxury and wellness offerings.”
“We have entered the final quarter of the year on a strong footing, with an effective strategy, well-performing assets, and a strategic pipeline of opportunities that position us to deliver further growth and enhanced returns for 2024 and beyond.”
