Profits decline at Kuwait’s International Financial Advisors

Kuwait's IFA, whose subsidiary owns Fairmont the Palm, narrowed its net income to 9 million dinars from 30m dinars.

Kuwait’s International Financial Advisors reported pared-down profits for the first half, as it closed two of its businesses.

Kuwait-listed IFA Hotels and Resorts is a part of the IFA consortium. IFA Hotels and Resorts owns IFA Hotel Investments, the owner of Fairmont the Palm and Mövenpick Hotel Jumeirah Lakes Towers, both in Dubai.

IFA reported net income of 9.9 million dinars (Dh128.3m) in the first half of this year, compared to 30m dinars in the previous year, it said yesterday.

The group closed its Seven Seas Resorts company, in which it had a 48.3 per cent stake. It also closed IFA Aviation, where it owned a 74.8 per cent stake. Both closures came during the first half.

IFA was not immediately available for comment.

IFA has properties under development in Dubai worth 130.74m dinars at the end of June, up from 111.88m dinars last year.

The group lost 1.08m dinars as a result of joint ventures, which include Palm Golden Mile. A joint venture between IFA Hotels and Resorts and Istithmar, it is involved in design, development, construction, marketing, sale of apartments and rental of shopping centres and residential apartments on the Palm.

The Golden Mile project comprises 10 interconnected 11-storey buildings with retail and freehold office space.

Another subsidiary, IFA Hotels and Resorts, launched the first phase of its Dh1 billion, eight-storey mixed-use development called The 8 this year.

The project will eventually include 300 units, comprising two and three-bedroom apartments, town houses and penthouses fashioned after the beachfront developments of Miami, Florida.

Expected to be ready next year, IFA released about 50 apartments, most of which are two and three-bedroom units, at the resort.

Building work is also under way at Balqis Residence, which will comprise 389 villas, town houses, penthouses and apartments, in the mixed-use Kingdom of Sheba complex on the Palm Crescent.

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