Financial statements for the 3rd QTR of 2021

AL MAZAYA HOLDING COMPANY K.S.C. (PUBLIC)

AND ITS SUBSIDIARIES

STATE OF KUWAIT

INTERIM CONDENSED CONSOLIDATED FINANCIAL INFORMATION

FOR THE PERIOD ENDED SEPTEMBER 30, 2021

(UNAUDITED)

WITH

REPORT ON REVIEW OF INTERIM CONDENSED CONSOLIDATED

FINANCIAL INFORMATION

AL MAZAYA HOLDING COMPANY K.S.C. (PUBLIC)

AND ITS SUBSIDIARIES

STATE OF KUWAIT

INTERIM CONDENSED CONSOLIDATED FINANCIAL INFORMATION

FOR THE PERIOD ENDED SEPTEMBER 30, 2021

(UNAUDITED)

WITH

REPORT ON REVIEW OF INTERIM CONDENSED CONSOLIDATED FINANCIAL INFORMATION

CONTENTS

Report on review of interim condensed consolidated financial information
	Page
Interim condensed consolidated statement of financial position (unaudited)	2
Interim condensed consolidated statement of profit or loss (unaudited)	3
Interim condensed consolidated statement of profit or loss and other comprehensive income (unaudited)	4
Interim condensed consolidated statement of changes in equity (unaudited)	5
Interim condensed consolidated statement of cash flows (unaudited)	6
Notes to interim consolidated financial information (unaudited)	7 - 16

REPORT ON REVIEW OF

INTERIM CONDENSED CONSOLIDATED FINANCIAL INFORMATION

The Board of Directors

Al Mazaya Holding Company K.S.C.P.

State of Kuwait

Introduction

We have reviewed the accompanying interim condensed consolidated statement of financial position of Al Mazaya Holding Company K.S.C.P. "The Parent Company" and its subsidiaries (the Group) as of September 30, 2021 and the related interim condensed consolidated statements of profit or loss, profit or loss and other comprehensive income, changes in equity and cash flows for the nine months period then ended. Management of the Parent Company is responsible for the preparation and presentation of this interim condensed consolidated financial information in accordance with International Accounting Standard 34, "Interim Financial Reporting". Our responsibility is to express a conclusion on this interim condensed consolidated financial information based on our review.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements 2410, "Review of Interim financial information performed by the Independent Auditor of the Entity." A review of interim condensed consolidated financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim condensed consolidated financial information is not prepared, in all material respects, in accordance with International Accounting Standard 34.

Report on other Legal and Regulatory Requirements

Furthermore, based on our review the interim condensed consolidated financial information is in agreement with the books of account of the Parent Company. We further report that, to the best of our knowledge and belief, we have not become aware of any violations of the Companies Law No. 1 of 2016 and its Executive Regulations, as amended, or of the Parent Company's Memorandum of Incorporation and Articles of Association, as amended during the nine months period ended September 30, 2021 that might have had a material effect on the Group's financial position or results of its operations.

Furthermore, during our review we have not become aware of any material violations of the provisions of Law 7 of 2010, as amended, relating to the Capital Markets Authority and its related regulations during the nine months period ended September 30, 2021 that might have had a material effect on the Group's financial position or results of its operations.

State of Kuwait	Dr. Shuaib A. Shuaib
November 10, 2021	Licence No. 33-A
	RSM Albazie & Co.

AL MAZAYA HOLDING COMPANY K.S.C.P. AND ITS SUBSIDIARIES

INTERIM CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS (UNAUDITED) FOR THE PERIOD ENDED SEPTEMBER 30, 2021

(All amounts are in Kuwaiti Dinars)

			For the three months ended		For the nine months ended
			September 30,		September 30,
	Note	2021	2020	2021	2020
Revenue:
Revenue from sale of properties held for trading			-	410,319	410,786	9,416,388
Rental income			2,408,351	2,005,274	7,041,132	6,229,685
Medical services income			951,146	-	1,793,310	-
Net management fees and commission income			76,621		25,713		226,843		183,581
Total revenue			3,436,118	2,441,306	9,472,071	15,829,654
Costs:
Cost of sale of properties held for trading			-	(361,261)	(400,327)	(9,029,051)
Cost of rental			(461,059)	(487,767)	(1,514,620)	(1,316,894)
Cost of medical services			(741,229)		-		(1,330,863)		-
Total costs			(1,202,288)		(849,028)		(3,245,810)	(10,345,945)
Gross profit			2,233,830	1,592,278	6,226,261	5,483,709
Impairment loss for lands and properties held for trading			-	-	-	(280,997)
Change in fair value of investment properties			-	-	-	(1,933,974)
Share of results from an associate			-	-	-	(474,452)
Selling and marketing expenses			(37,893)	(17,059)	(78,471)	(89,073)
General and administrative expenses			(733,297)		(914,203)		(2,436,871)		(2,684,983)
Operating profit			1,462,640	661,016	3,710,919	20,230
Net (loss) profit of financial assets			(18,304)	(15,689)	(33,361)	38,931
The effect of reclassification of an associate to financial
assets at FVOCI			-	172,194	-	172,194
Net other (expenses) income	7		(154,102)	22,172	(35,180)	(899,646)
Amortization of finance costs related to lease liabilities			(149,435)	(163,407)	(458,164)	(498,728)
Finance costs			(1,005,847)		(1,080,453)		(3,043,238)		(3,995,213)
Profit (Loss) for the period from Continuing operations			134,952	(404,167)	140,976	(5,162,232)
Profit (Loss) for the period from Discontinued operations	5		90,630		131,358		291,573		(58,601)
Profit (Loss) for the period			225,582	(272,809)	432,549	(5,220,833)
Attributable to:
Shareholders of the Parent Company			63,967	(317,142)	148,200	(5,266,738)
Non-controlling interests			161,615		44,333		284,349		45,905
Profit (Loss) for the period			225,582	(272,809)	432,549	(5,220,833)
Continuing operations
Basic loss per share - attributable to shareholders of the
parent company - Fils	8		(0.03)	(0.69)	(0.18)	(8.31)
Diluted loss per share - attributable to shareholders of the
parent company - Fils	8		(0.03)	(0.69)	(0.18)	(8.30)
Discontinued operations
Basic earnings (loss) per share - attributable to
shareholders of the parent company - Fils	8		0.13	0.19	0.42	(0.08)
Diluted earnings (loss) per share - attributable to
shareholders of the parent company - Fils	8		0.13	0.19	0.42	(0.08)
Total basic earnings (loss) per share - attributable to
shareholders of the parent company - Fils	8		0.10	(0.50)	0.24	(8.39)
Total diluted earnings (loss) per share - attributable to
shareholders of the parent company - Fils	8		0.10		(0.50)		0.24		(8.38)

The accompanying notes (1) to (14) form an integral part of the interim consolidated financial information.

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