National Real Estate K P S C : Financial Results of the ended period on 31 December 2023

Date : March 30, 2024

2024 سرﺎﻣ 30 :ﺦﯾرﺎﺘﻟا

To: Boursa Kuwait Company KSCPSub: Results of Board of Directors Meeting of National Real Estate Company KPSC "NREC"

،،،ﻦﯿﻣﺮﺘﺤﻤﻟا

ﺖﯾﻮﻜﻟا ﺔﺻرﻮﺑ ﺔﻛﺮﺷ /ةدﺎـــــﺴﻟا

،،،ﺪﻌﺑو ﺔﺒﯿط ﺔﯿﺤﺗ

ﺔــــﯿﻨطﻮﻟا ﺔﻛﺮــــﺸﻟا ةرادإ ﺲــــﻠﺠﻣ عﺎــــﻤﺘﺟإ ﺞﺋﺎــــﺘﻧ :عﻮــــﺿﻮﻤﻟا ع.ك.م.ش ﺔﯾرﺎﻘﻌﻟا

We would like to inform you that the Board Meeting of ﺔــــﯾرﺎﻘﻌﻟا ﺔــــﯿﻨطﻮﻟا ﺔﻛﺮــــﺸﻟا ةرادإ ﺲــــﻠﺠﻣ نﺄــــﺑ ﻢــــﻠﻌﻟا ﻰــــﺟﺮﯾ National Real Estate Company KPSC is convened on سرﺎـ ــــﻣ 30 ﻖـــــﻓاﻮﻤﻟا ﺖﺒـــــﺴﻟا مﻮـــــﯾ ﻊـــــﻤﺘﺟإ ﺪـــــﻗ ع.ك.م.ش Saturday, March 30, 2024 at 1:00 pm and they discussed ﺖــــﻤﺗو ًاﺮــــﮭظ ةﺪــــﺣاﻮﻟا ﺔﻋﺎــــﺴﻟا مﺎــــﻤﺗ ﻲــــﻓ ﻚــــﻟذو ،2024

and approved the following items:

:ﺔﯿﻟﺎﺘﻟا دﻮﻨﺒﻟا دﺎﻤﺘﻋإو ﺔﺸﻗﺎﻨﻣ

1- Approved the Annual consolidated financial statement ﺔـــﯿﮭﺘﻨﻤﻟا ﺔـــﯿﻟﺎﻤﻟا ﺔﻨـــﺴﻠﻟ ﺔـــﻌﻤﺠﻤﻟا ﺔـــﯿﻟﺎﻤﻟا تﺎـــﻧﺎﯿﺒﻟا دﺎـــﻤﺘﻋإ -1

for the year ended on December 31st, 2023.

.2023 ﺮﺒﻤﺴﯾد 31 ﻲﻓ

2- Recommended to distribute 5% bonus shares dividends from the total share capital to the Company's Shareholders for the financial year ended on December 31st, 2023.

3- Approve the increase of the issued capital of the company from 198,128,194.900 KWD to 208,034,604.600 KWD by issuing 5% bonus shares.

• ﺔﻛﺮـــﺸﻟا ﻲﻤھﺎـــﺴﻣ ﻰـــﻠﻋ حﺎـــﺑرأ ﻊـــﯾزﻮﺘﺑ ﺔﯿـــﺻﻮﺘﻟا دﺎـــﻤﺘﻋإ -2 ﺔﻨــــﺴﻠﻟ لﺎـــﻤﻟا سأر ﻲﻟﺎـــﻤﺟإ ﻦـــﻣ ﺔـــﺤﻨﻣ ﻢﮭـــﺳأ %5 ﻊـ ــﻗاﻮﺑ .2023 ﺮﺒﻤﺴﯾد 31 ﻲﻓ ﺔﯿﮭﺘﻨﻤﻟا ﺔﯿﻟﺎﻤﻟا

• ﻦــــﻣ رﺪــــﺼﻤﻟا ﺔﻛﺮــــﺸﻟا لﺎــــﻣ سأر ةدﺎــــﯾز ﻰــــﻠﻋ ﺔــــﻘﻓاﻮﻤﻟا -3 ﻰــــــــــــــﻟإ ﻲﺘﯾﻮــــــــــــــﻛ رﺎــــــــــــــﻨﯾد 198,128,194.900 %5 راﺪـــــــــﺻﺈﺑ ﻲﺘﯾﻮـــــــــﻛ رﺎـــــــــﻨﯾد 208,034,604.600 .ﺔﺤﻨﻣ ﻢﮭﺳأ

• 4- Approve the Amendment of the Article No. (6) from the ﺲﯿــــﺳﺄﺘﻟا ﺪــــﻘﻋ ﻦــــﻣ (6) ةدﺎــــﻤﻟا ﻞﯾﺪــــﻌﺗ ﻰــــﻠﻋ ﺔــــﻘﻓاﻮﻤﻟا -4

Memorandum of Association and Article No. (5) from the Article of Association of the Company.

.ﺔﻛﺮﺸﻠﻟ ﻲﺳﺎﺳﻷا مﺎﻈﻨﻟا ﻦﻣ (5) ةدﺎﻤﻟاو

Attached the Annual financial Statement Form.

.ﺔﯾﻮﻨﺴﻟا ﺔﯿﻟﺎﻤﻟا تﺎﻧﺎﯿﺒﻟا ﺞﺋﺎﺘﻨﺑ صﺎﺨﻟا جذﻮﻤﻨﻟا ﻢﻜﻟ ﻖﻓﺮﻣ

،،،مارتﺤﻻا قﺌﺎﻓ لوبﻘ� اوﻠضﻔﺘو

Faisal Jamil Sultan Al Essa - ﻰس�عﻟا نﺎطﻠﺴ ﻞیمﺠ ﻞص�ف

Vice Chairman & CEO - يذیﻔنتﻟا س�ﺌرﻟاو ةرادﻹا سﻠجﻤ س�ﺌر بﺌﺎﻨ

Financial Results Form Kuwaiti Company (KWD)

ﺔﻴﻟﺎﳌا تﺎﻧﺎﻴﺒﻟا ﺞﺋﺎﺘﻧ جذﻮﻤﻧ (.ك.د) ﺔﻴت�ﻮﻜﻟا تﺎ�ﺮﺸﻟا

Company Name	ﺔﻛﺮﺸﻟا ﻢﺳا
National Real Estate Company K.P.S.C	ع.ك.م.ش ﺔ�رﺎﻘﻌﻟا ﺔﻴﻨﻃﻮﻟا ﺔﻛﺮﺸﻟا

Financial Year Ended on

2023-12-31

�� ﺔﻴ��ﻨﳌا ﺔﻴﻟﺎﳌا ﺔﻨﺴﻟا ﺞﺋﺎﺘﻧ

Board of Directors Meeting Date

2024-03-30

ةرادﻹا ﺲﻠﺠﻣ عﺎﻤﺘﺟا ﺦ�رﺎﺗ

Required Documents	جذﻮﻤﻨﻟﺎﺑ ﺎهﻗﺎﻓرإ ﺐﺟاﻮﻟا تاﺪﻨتﺴﳌا
Approved financial statements. Approved auditor's report This form shall not be deemed to be complete unless the documents mentioned above are provided	ةﺪﻤﺘﻌﳌا ﺔﻴﻟﺎﳌا تﺎﻧﺎﻴﺒﻟا ﻦﻣ ﺔخ�� ﺪﻤﺘﻌﳌا تﺎﺑﺎﺴح�ا ﺐﻗاﺮﻣ ﺮ�ﺮﻘﺗ ﻦﻣ ﺔخ�� ً تاﺪﻨتﺴﳌا ﻩﺬه قﺎﻓر�و ﻢﺘﻳ ﻢﻟ ﺎﻣ ﻼﻤﺘﻜﻣ جذﻮﻤﻨﻟا اﺬه ��ﺘﻌ� ﻻ

(%)��ﻴﻐﺘﻟا	ﺔﻧرﺎﻘﳌا ﺔﻨﺴﻟا	ﺔﻴﻟﺎح�ا ﺔﻨﺴﻟا	نﺎﻴﺒﻟا Statement
Change (%)	Comparative Year	Current Year
2022-12-31	2023-12-31
-296.1%	17,937,849	(35,183,672)	مﻷا ﺔﻛﺮﺸﻟا ي�هﺎﺴﻤﺑ صﺎخ�ا (ةرﺎﺴخ�ا) ﺢ�ﺮﻟا ��ﺎﺻ
Net Profit (Loss) represents the amount attributable to the owners of the parent Company
-294.6%	10.15	(19.75)	ﺔﻔﻔخ�او ﺔﻴﺳﺎﺳﻷا ﻢهﺴﻟا (ةرﺎﺴﺧ) ﺔﻴﺤ�ر Basic & Diluted Earnings per Share
-20.8%	45,769,468	36,265,696	ﺔﻟواﺪﺘﳌا تادﻮﺟﻮﳌا
Current Assets
-1.0%	538,750,320	533,172,077	تادﻮﺟﻮﳌا ��ﺎﻤﺟإ Total Assets
41.0%	20,313,853	28,632,571	ﺔﻟواﺪﺘﳌا تﺎ�ﻮﻠﻄﳌا
Current Liabilities
2.1%	179,020,647	182,694,045	تﺎ�ﻮﻠﻄﳌا ��ﺎﻤﺟإ Total Liabilities
-2.4%	354,729,319	346,275,679	مﻷا ﺔﻛﺮﺸﻟا ي�هﺎﺴﻤﺑ ﺔﺻﺎخ�ا ﺔﻴﻜﻠﳌا قﻮﻘﺣ ��ﺎﻤﺟإ
Total Equity attributable to the owners of the Parent Company
-52.4%	26,043,427	12,383,721	ﺔﻴﻠﻴﻐﺸتﻟا تاداﺮﻳﻹا ��ﺎﻤﺟإ Total Operating Revenue
-50.6%	14,499,599	7,168,248	ﺔﻴﻠﻴﻐﺸتﻟا (ةرﺎﺴخ�ا) ﺢ�ﺮﻟا ��ﺎﺻ
Net Operating Profit (Loss)
ﺔﻤﻛا��ﻣ ﺮﺋﺎﺴﺧ ﺪﺟﻮﻳ ﻻ No accumulated losses	ﺔﻤﻛا��ﻣ ﺮﺋﺎﺴﺧ ﺪﺟﻮﻳ ﻻ No accumulated losses	عﻮﻓﺪﳌا لﺎﳌا سأر / ﺔﻤﻛا��ﳌا ﺮﺋﺎﺴخ�ا Accumulated Loss / Paid-Up Share Capital

(%)��ﻴﻐﺘﻟا	نرﺎﻘﳌا ﻊ�اﺮﻟا ﻊ�ﺮﻟا	��ﺎح�ا ﻊ�ا ﺮﻟا ﻊ�ﺮﻟا	نﺎﻴﺒﻟا Statement
Change (%)	Fourth quarter Comparative Year	Fourth quarter Curren Year
2022-12-31	2023-12-31
-634.7%	6,302,943	(33,699,719)	مﻷا ﺔﻛﺮﺸﻟا ي�هﺎﺴﻤﺑ صﺎخ�ا (ةرﺎﺴخ�ا) ﺢ�ﺮﻟا ��ﺎﺻ
Net Profit (Loss) represents the amount attributable to the owners of the parent Company
-630.0%	3.57	(18.92)	ﺔﻔﻔخ�او ﺔﻴﺳﺎﺳﻷا ﻢهﺴﻟا (ةرﺎﺴﺧ) ﺔﻴﺤ�ر Basic & Diluted Earnings per Share
-64.4%	7,267,222	2,584,134	ﺔﻴﻠﻴﻐﺸتﻟا تاداﺮﻳﻹا ��ﺎﻤﺟإ
Total Operating Revenue
-67.2%	4,186,617	1,371,652	ﺔﻴﻠﻴﻐﺸتﻟا (ةرﺎﺴخ�ا) ﺢ�ﺮﻟا ��ﺎﺻ Net Operating Profit (Loss)

• • Not Applicable for first Quarter

• لوﻷا ﻊ�ﺮﻟا ��ﻋ ﻖﺒﻄﻨﻳ ﻻ •

Increase/Decrease in Net Profit (Loss) is due to	(ةرﺎﺴخ�ا) ﺢ�ﺮﻟا ��ﺎﺻ ضﺎﻔﺨﻧا/عﺎﻔﺗرا ﺐبﺳ
The reason for decrease in net profit is mainly due to the decrease in share of result from the Joint Venture	ضﺎﻔﺨﻧا ��ا ي��ﺎﺳا ﻞ�ﺸ� ﺢ�ﺮﻟا ��ﺎﺻ �� ضﺎﻔﺨﻧﻻا ﺐبﺳ دﻮﻌ� ﺔﺻﺎح�ا ﺔﻛﺮﺸﻟا لﺎﻤﻋأ ﺞﺋﺎﺘﻧ ﻦﻣ ﺔﺼح�ا

Total Revenue realized from dealing with related parties (value, KWD)

150,139

فاﺮﻃﻷا ﻊﻣ تﻼﻣﺎﻌﺘﻟا ﻦﻣ تاداﺮﻳﻹا ��ﺎﻤﺟإ ﻎﻠﺑ (.ك.د ﻎﻠﺒﳌا) ﺔﻠﺼﻟا تاذ

Total Expenditures incurred from dealing with related parties (value, KWD)

1,516,540

فاﺮﻃﻷا ﻊﻣ تﻼﻣﺎﻌﺘﻟا ﻦﻣ تﺎﻓوﺮﺼﳌا ��ﺎﻤﺟإ ﻎﻠﺑ (.ك.د ﻎﻠﺒﳌا) ﺔﻠﺼﻟا تاذ

Auditor Opinion	تﺎﺑﺎﺴح�ا ﺐﻗا ﺮﻣ يأر
1.	Unqualified Opinion ☐ ﻆﻔﺤﺘﻣ ��ﻏ يأر	.1
2.	Qualified Opinion ☒ ﻆﻔﺤﺘﻣ يأر	.2
3.	Disclaimer of Opinion ☐ يأﺮﻟا ءاﺪﺑإ مﺪﻋ	.3
4.	Adverse Opinion ☐ ﺲﻛﺎﻌﻣ يأر	.4

In the event of selecting item No. 2, 3 or 4, the following table must be filled out, and this form is not considered complete unless it is filled.

ﺔﺌﺒﻌ� ﺐﺠﻳ 4 وأ 3 وأ 2 ﻢﻗر ﺪﻨﺑ رﺎﻴﺘﺧا لﺎﺤﺑ ً ﮫﺘئﺒﻌ� ﻢﺘﻳ ﻢﻟ ﺎﻣ ﻼﻤﺘﻜﻣ جذﻮﻤﻨﻟا اﺬه ��ﺘﻌ� ﻻو ،��ﺎﺘﻟا لوﺪج�ا

ﺐﻗا ﺮﻣ يأر ﺺﻧ �� درو ﺎﻤﻛ تﺎﺑﺎﺴح�ا ﺮ�ﺮﻘﺘﻟا

ظﻔﺣﺗﻣﻟا يأرﻟا ("ﺔﻋوﻣﺟﻣﻟا) ﺔﻌﺑﺎﺗﻟا ﺎﮭﺗﺎﻛرـﺷو ،(مﻻا ﺔﻛرـﺷﻟا) .ع.ك.م.ش - ﺔﯾرﺎﻘﻌﻟا ﺔﯾﻧطوﻟا ﺔﻛرـﺷﻠﻟ ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا ﺎﻧﻘﻗد دﻘﻟ لﻣﺎــﺷﻟا لﺧدﻟاو رﺋﺎــﺳﺧﻟا وأ حﺎﺑرﻷا تﺎﻧﺎﯾﺑو ،2023 رﺑﻣــﺳﯾد 31 ﻲﻓ ﺎﻣﻛ ﻊﻣﺟﻣﻟا ﻲﻟﺎﻣﻟا زﻛرﻣﻟا نﺎﯾﺑ نﻣــﺿﺗﺗ ﻲﺗﻟاو لوﺣ تﺎﺣﺎـﺿﯾﻹاو ،ﺦﯾرﺎﺗﻟا كﻟذ ﻲﻓ ﺔﯾﮭﺗﻧﻣﻟا ﺔﯾﻟﺎﻣﻟا ﺔﻧـﺳﻠﻟ ﺔﻌﻣﺟﻣﻟا ﺔﯾدﻘﻧﻟا تﺎﻘﻓدﺗﻟاو ﺔﯾﻛﻠﻣﻟا قوﻘﺣ ﻲﻓ تارﯾﻐﺗﻟاو رﺧﻵا .ﺔﯾدﺎﻣﻟا ﺔﯾﺑﺳﺎﺣﻣﻟا تﺎﺳﺎﯾﺳﻟا تﺎﻣوﻠﻌﻣ كﻟذ ﻲﻓ ﺎﻣﺑ ،ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا نﺈﻓ ،ظﻔﺣﺗﻣﻟا يأرﻟا ســﺳأ ةرﻘﻓ ﻲﻓ ﺔﻧﯾﺑﻣﻟا روﻣﻸﻟ ﺔﺟﯾﺗﻧ ﺔﻠﻣﺗﺣﻣ تارﯾﺛﺄﺗ ﺔﯾأ ءﺎﻧﺛﺗــﺳﺎﺑو ،ﺎﻧﯾأرﺑ 2023 رﺑﻣــﺳﯾد 31 ﻲﻓ ﺎﻣﻛ ﺔﻋوﻣﺟﻣﻠﻟ ﻊﻣﺟﻣﻟا ﻲﻟﺎﻣﻟا زﻛرﻣﻟا ﺔﯾدﺎﻣﻟا ﻲﺣاوﻧﻟا ﻊﯾﻣﺟ نﻣ ﺔﻟدﺎﻋ ةروــﺻﺑ رﮭظﺗ ﺔﻘﻓرﻣﻟا .ﺔﯾﻟﺎﻣﻟا رﯾرﺎﻘﺗﻠﻟ ﺔﯾﻟودﻟا رﯾﯾﺎﻌﻣﻠﻟ ًﺎﻘﻓو ﺦﯾرﺎﺗﻟا كﻟذﺑ ﺔﯾﮭﺗﻧﻣﻟا ﺔﯾﻟﺎﻣﻟا ﺔﻧﺳﻠﻟ ﺔﻌﻣﺟﻣﻟا ﺔﯾدﻘﻧﻟا ﺎﮭﺗﺎﻘﻓدﺗو ﻊﻣﺟﻣﻟا ﻲﻟﺎﻣﻟا ﺎﮭﺋادأو Qualified Opinion We have audited the consolidated financial statements of National Real Estate Company K.P.S.C (the "Parent Company") and its subsidiaries (the "Group"), which comprise the consolidated statement of financial position as at December 31, 2023, and the consolidated statements of profit or loss, other comprehensive income, changes in equity and cash flows for the year then ended, and notes to the consolidated financial statements, including a summary of material accounting policies information. In our opinion, except for the possible effect of the matter described in Basis for Qualified Opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Group as at December 31, 2023, and its consolidated financial performance and its consolidated cash flows for the year then ended in accordance with International Financial Reporting Standards (IFRSs).

��ﻴﺼﻔﺗ حﺮﺷ ي�ﻟا ﺔﻟﺎح�ﺎﺑ ﺐﻗا ﺮﻣ ﺖﻋﺪﺘﺳا ءاﺪﺑﻹ تﺎﺑﺎﺴح�ا يأﺮﻟا

ظﻔﺣﺗﻣﻟا يأرﻟا سﺳأ ﻎﻠﺑﻣﺑ ﺔﯾرﺎﻣﺛﺗﺳا تارﺎﻘﻋ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا ىدﻟ دﺟوﯾ ،ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا لوﺣ (9) مﻗر حﺎﺿﯾإ ﻲﻓ نﯾﺑﻣ وھ ﺎﻣﻛ - ﻲھو (ﻲﺗﯾوﻛ رﺎﻧﯾد فﻟأ 279,216 :2022 رﺑﻣﺳﯾد 31) 2023 رﺑﻣﺳﯾد 31 ﻲﻓ ﺎﻣﻛ ﻲﺗﯾوﻛ رﺎﻧﯾد فﻟأ 281,360 31) ﻲﺗﯾوﻛ رﺎﻧﯾد فﻟأ 191,172 ﻎﻠﺑﻣﺑ تارﺎﻘﻋ رﯾﺟﺄﺗ دوﻘﻋ ﺎﮭﻧﻣو ،تﯾوﻛﻟﺎﺑ ﺔﻋﺎﻧﺻﻠﻟ ﺔﻣﺎﻌﻟا ﺔﺋﯾﮭﻟا نﻣ ةرﺟﺄﺗﺳﻣ ﻲھو ﻊﻣﺟﻣﻟا ﻲﻟﺎﻣﻟا زﻛرﻣﻟا نﺎﯾﺑ ﺦﯾرﺎﺗ ﻲﻓ ﺎﻣﻛ ﺎﮭﻧﺎﯾرﺳ ﻰﮭﺗﻧا دﻗ (ﻲﺗﯾوﻛ رﺎﻧﯾد فﻟأ 190,635 :2022 رﺑﻣﺳﯾد نﺄﺷﺑ 2023 رﯾﺎﻧﯾ 18 ﻲﻓ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻠﻟ ًارﺎطﺧإ ﺔﻋﺎﻧﺻﻠﻟ ﺔﻣﺎﻌﻟا ﺔﺋﯾﮭﻟا تردﺻأ ،ثﯾﺣ .ﻲﻧوﻧﺎﻘﻟا عازﻧﻟا دﯾﻗ نﻵا نﻣ عوﺑﺳأ نوﺿﻏ ﻲﻓ ﻲﻧﺎﺑﻣﻟا هذھ ءﻼﺧﺈﺑ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا مﺎﯾﻗو ،هذھ رﺎﺟﯾﻹا دوﻘﻋ دﯾدﻣﺗ وأ دﯾدﺟﺗ ﻲﻓ ﺎﮭﺗﺑﻏر مدﻋ ﺔﻋﺎﻧﺻﻠﻟ ﺔﻣﺎﻌﻟا ﺔﺋﯾﮭﻟا ﻊﻧﻣ ﺔﯾﺗﯾوﻛﻟا مﻛﺎﺣﻣﻟا نﻣ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا تﺑﻠط ،ﺔﯾﻧوﻧﺎﻘﻟا تاءارﺟﻹا نﻣ ءزﺟﻛ .رﺎطﺧﻹا رادﺻإ قوﺛوﻣ رﯾدﻘﺗ ﻰﻠﻋ لوﺻﺣﻟا نﻣ ﺎﺿً ﯾأ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا نﻛﻣﺗﺗ مﻟ .تارﺎﻘﻌﻟا هذﮭﻟ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا مادﺧﺗﺳا ﺔﻌطﺎﻘﻣ نﻣ ،تارﺎﻘﻌﻟا هذﮭﺑ طﺑﺗرﻣﻟا نﯾﻘﯾﻟا مدﻋ بﺑﺳﺑ ،ﺔﻋﺎﻧﺻﻠﻟ ﺔﻣﺎﻌﻟا ﺔﺋﯾﮭﻟا نﻣ ةرﺟﺄﺗﺳﻣﻟا ﺔﯾرﺎﻣﺛﺗﺳﻻا تارﺎﻘﻌﻠﻟ ﺔﻟدﺎﻌﻟا ﺔﻣﯾﻘﻠﻟ ﮫﺑ لوﺣ ﺔﺑﺳﺎﻧﻣو ﺔﯾﻓﺎﻛ ﻖﯾﻗدﺗ ﺔﻟدأ ﻰﻠﻋ لوﺻﺣﻟا نﻣ نﻛﻣﺗﻧ مﻟ كﻟذﻟ .ﺔﻋﺎﻧﺻﻠﻟ ﺔﻣﺎﻌﻟا ﺔﺋﯾﮭﻟا ﻊﻣ رﻣﺗﺳﻣﻟا ﻲﺿﺎﻘﺗﻠﻟ ﺔﺟﯾﺗﻧ ﻲﻓ لﯾﺻﻔﺗﻟﺎﺑ نﯾﺑﻣ وھ ﺎﻣﻛ ﺔﯾﺳﺎﺳﻷا رﯾﺟﺄﺗﻟا دوﻘﻋ نﺎﯾرﺳ ءﺎﮭﺗﻧا بﺑﺳﺑ ﺎﮭﻣﯾﯾﻘﺗو ﺔﯾرﺎﻣﺛﺗﺳﻻا تارﺎﻘﻌﻟا هذھ دوﺟو ﺔﻋﺎﻧﺻﻠﻟ ﺔﻣﺎﻌﻟا ﺔﺋﯾﮭﻟا نﻣ ةرﺟﺄﺗﺳﻣﻟا تارﺎﻘﻌﻟا ﻊﯾﻣﺟﻟ ﺔﻟدﺎﻌﻟا ﺔﻣﯾﻘﻟا دﯾدﺣﺗ ﻰﻠﻋ ةرادﻹا ةردﻗ مدﻋو ،(أ) 4 حﺎﺿﯾﻹا ﺔﻣرﺑﻣﻟا رﯾﺟﺄﺗﻟا دوﻘﻋ ﻊﯾﻣﺟ دﯾدﺟﺗ لوﺣ نﯾﻘﯾﻟا مدﻋ نﻣ رﯾﺑﻛ ردﻗ كﺎﻧھ ،كﻟذ ﻰﻠﻋ ةوﻼﻋ .2023 رﺑﻣﺳﯾد 31 ﻲﻓ ﺎﻣﻛ تﺎﻘﻓدﺗﻟاو ﺔﯾﺣﺑرﻟاو ﺔﯾﻠﯾﻐﺷﺗﻟا تادارﯾﻹا ﻰﻟإ ﺔﻓﺎﺿﻹﺎﺑ ،ﺄﺷﻧﺗ دﻗ ﻲﺗﻟا تﺎﻣازﺗﻟﻻا وأ قوﻘﺣﻟاو ﺔﻋﺎﻧﺻﻠﻟ ﺔﻣﺎﻌﻟا ﺔﺋﯾﮭﻟا ﻊﻣ نﺎﻛ اذإ ﺎﻣ دﯾدﺣﺗ نﻣ نﻛﻣﺗﻧ مﻟ ،ﻲﻟﺎﺗﻟﺎﺑو .ﺔﯾرﺎﺟﻟا ﺔﯾﻧوﻧﺎﻘﻟا تاءارﺟﻹا ﺔﺟﯾﺗﻧ ةرﺛﺄﺗﻣ نوﻛﺗ دﻗ ﻲﺗﻟا ﺔﻠﺻﻟا تاذ ﺔﯾدﻘﻧﻟا ﺔﻧﺳﻠﻟ رﻣﻷا اذھ لوﺣ ظﻔﺣﺗﻣ ﺎﺿﯾأ ﺎﻧﯾأر نإ .تارﺎﻘﻌﻟا هذﮭﻟ ﺔﯾرﺗﻓدﻟا ﺔﻣﯾﻘﻟا ﻰﻠﻋ تﻼﯾدﻌﺗ يأ ءارﺟإ يرورﺿﻟا نﻣ .2022 رﺑﻣﺳﯾد 31 ﻲﻓ ﺔﯾﮭﺗﻧﻣﻟا ﺔﻘﺑﺎﺳﻟا

دﺿ زﯾﯾﻣﺗﻟا ﺔﻣﻛﺣﻣ نﻋ ردﺎﺻﻟا مﻛﺣﻠﻟ ﺎﻘﻓوو ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا لوﺣ (5/أ - 9) مﻗر حﺎﺿﯾإ ﻲﻓ نﯾﺑﻣ وھ ﺎﻣﻛ -ً

ﻲﻓ ﺎﻣﻛ ﺔﯾﺋﺎﮭﻧﻟا ﺔﺟﯾﺗﻧﻟﺎﺑ ﺔﻠﺻ تاذ تﻼﯾدﻌﺗ يأ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا لﺟﺳﺗ مﻟ ،تﯾوﻛﻟا ﺔﻟود ﻲﻓ كرﺎﻣﺟﻠﻟ ﺔﻣﺎﻌﻟا ةرادﻹا تﺎﯾﻧﺎﻛﻣإ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا ةرادإ فﺷﻛﺗﺳﺗ ثﯾﺣ ،ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻠﻟ ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا ﻲﻓ 2023 رﺑﻣﺳﯾد 31 ﮫﻠﯾﺟﺳﺗ ،ﺎﻧﯾأر ﻲﻓ ،ﻲﻐﺑﻧﯾ نﺎﻛ يذﻟاو ،حوﻧﻣﻣﻟا ضﯾوﻌﺗﻟا ﺔﯾوﺳﺗﻟ كرﺎﻣﺟﻠﻟ ﺔﻣﺎﻌﻟا ةرادﻹا ﻊﻣ تﺎﺿوﺎﻔﻣ ﻲﻓ لوﺧدﻟا رﺑﻣﺳﯾد 31 ﻲﻓ ﺎﻣﻛ ﺔﯾﻛﻠﻣﻟا قوﻘﺣ ﻲﻟﺎﻣﺟاو ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا ﻲﻓ رﺎﻣﺛﺗﺳﻻا ضﯾﻔﺧﺗ مﺗ ،كﻟذﻟ ﺔﺟﯾﺗﻧ .نﯾﻧﯾدﻣو تادارﯾﺈﻛ تﻘﺣﺗﺳا ،كﻟذ ﻰﻟإ ﺔﻓﺎﺿﻹﺎﺑ .ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا ﻲﻓ رﺎﻣﺛﺗﺳﻻا ﺔﺻﺣﺑ ﻖﻠﻌﺗﻣﻟاو ﻲﺗﯾوﻛ رﺎﻧﯾد فﻟأ 7,728 ﻎﻠﺑﻣﺑ 2023 ﻲﻓ دﺋاوﻔﻟا كﻠﺗﻟ ﻲﻟﺎﻣﻟا رﺛﻷا بﺎﺳﺗﺣإ مﺗﯾ مﻟ ،ضﯾوﻌﺗﻟا ﻎﻠﺑﻣ ﻰﻠﻋ %7 ﻊﻗاوﺑ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا ﺢﻟﺎﺻﻟ ﺔﯾﻧوﻧﺎﻗ دﺋاوﻓ رﺑﻣﺳﯾد 31 ﻲﻓ ﺔﯾﮭﺗﻧﻣﻟا ﺔﻘﺑﺎﺳﻟا ﺔﻧﺳﻠﻟ رﻣﻷا اذھ لوﺣ ظﻔﺣﺗﻣ ﺎﺿﯾأ ﺎﻧﯾأر نإ .ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻠﻟ ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا

.2022

مﯾﻛﺣﺗ ىوﻋد ﻊﻓرﺑ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا تﻣﺎﻗ ،ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا لوﺣ (ب - 9) مﻗر حﺎﺿﯾﻹا ﻲﻓ درو ﺎﻣﻟ ﺎﻘﻓو نﻛﻣﺗﯾ مﻟ ،مﯾﻛﺣﺗﻟا ﺞﺋﺎﺗﻧو رﺎﻣﺛﺗﺳﻻﺎﺑ طﯾﺣﻣﻟا يدﺎﻣﻟا دﻛﺄﺗﻟا مدﻋو رﺎﻣﺛﺗﺳﻻا ﺔﻌﯾﺑطﻟ ًارظﻧ .ﺎﮭﺗارﺎﻣﺛﺗﺳا دﺣﺄﺑ ﻖﻠﻌﺗﺗ دادرﺗﺳا ﺔﯾﻧﺎﻛﻣإو رﺎﻣﺛﺗﺳﻻا دﯾﺻر لوﺣ ﺔﺑﺳﺎﻧﻣو ﺔﯾﻓﺎﻛ ﻖﯾﻗدﺗ ﺔﻟدأ ﻰﻠﻋ لوﺻﺣﻟا نﻣ ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا تﺎﺑﺎﺳﺣ ﻲﺑﻗارﻣ ءﺎﻧﺑو .2023 رﺑﻣﺳﯾد 31 ﻲﻓ ﺎﻣﻛ ﺔﻠﺻﻟا تاذ ﺎﮭﯾﻓ رﻣﺛﺗﺳﻣﻟا ﺔﻛرﺷﻟا ﻰﻟا ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا لﺑﻗ نﻣ حوﻧﻣﻣﻟا ضرﻘﻟا

-

.ﺔﻠﯾﻣزﻟا ﺔﻛرﺷﻟا ﻲﻓ رﺎﻣﺛﺗﺳﻼﻟ ﺔﯾرﺗﻓدﻟا ﺔﻣﯾﻘﻟا ﻰﻠﻋ تﻼﯾدﻌﺗ يأ ءارﺟإ ﻰﻟإ ﺔﺟﺎﺣﻟا ىدﻣ دﯾدﺣﺗ نﻣ نﻛﻣﺗﻧ مﻟ ﺎﻧﻧﺈﻓ ،ﮫﯾﻠﻋ .2022 رﺑﻣﺳﯾد 31 ﻲﻓ ﺔﯾﮭﺗﻧﻣﻟا ﺔﻘﺑﺎﺳﻟا ﺔﻧﺳﻠﻟ رﻣﻷا اذھ لوﺣ ظﻔﺣﺗﻣ ﺎﺿﯾأ ﺎﻧﯾأر نإ

ﻲﻓ لﯾـﺻﺎﻔﺗﻟا نﻣ دﯾزﻣﺑ ﺔﺣـﺿوﻣ رﯾﯾﺎﻌﻣﻟا كﻠﺗﻟ ًﺎﻘﺑط ﺎﻧﺗﺎﯾﻟوؤـﺳﻣ نإ .ﺔﯾﻟودﻟا ﻖﯾﻗدﺗﻟا رﯾﯾﺎﻌﻣﻟ ًﺎﻘﻓو ﻖﯾﻗدﺗﻟا لﺎﻣﻋﺄﺑ ﺎﻧﻣﻗ دﻘﻟ ﺔﻋوﻣﺟﻣﻟا نﻋ نوﻠﻘﺗــﺳﻣ ﺎﻧﻧأ ﺎﻣﻛ ."ﺔﻌﻣﺟﻣﻟا ﺔﯾﻟﺎﻣﻟا تﺎﻧﺎﯾﺑﻟا ﻖﯾﻗدﺗ نﻋ تﺎﺑﺎــﺳﺣﻟا بﻗارﻣ تﺎﯾﻟوؤــﺳﻣ" مــﺳﻗ ﻲﻓ ﺎﻧرﯾرﻘﺗ كﻟذ ﻲﻓ ﺎﻣﺑ) ﺔﯾﺑﺳﺎﺣﻣﻟا ﺔﯾﻗﻼﺧﻷا رﯾﯾﺎﻌﻣﻠﻟ ﻲﻟودﻟا سﻠﺟﻣﻟا نﻋ ردﺎﺻﻟا نﯾﯾﻧﮭﻣﻟا نﯾﺑﺳﺎﺣﻣﻠﻟ قﻼﺧﻷا قﺎﺛﯾﻣ تﺎﺑﻠطﺗﻣﻟ ﺎﻘﻓو .قﺎﺛﯾﻣﻟاو تﺎﺑﻠطﺗﻣﻟا كﻠﺗ ﻊﻣ ﻖﻓاوﺗﯾ ﺎﻣﺑ ىرﺧﻷا ﺔﯾﻗﻼﺧﻷا ﺎﻧﺗﺎﯾﻟوؤــﺳﻣﺑ مازﺗﻟﻻﺎﺑ ﺎﻧﻣﻗ ﺎﻣﻛ ،(ﺔﯾﻟﻼﻘﺗــﺳﻺﻟ ﺔﯾﻟودﻟا رﯾﯾﺎﻌﻣﻟا .ظﻔﺣﺗﻣﻟا ﺎﻧﯾأر ءادﺑا ﻲﻓ ﺎﺳﺎﺳأ نوﻛﺗﻟ ﺔﻣﺋﻼﻣو ﺔﯾﻓﺎﻛ ﺎﮭﯾﻠﻋ ﺎﻧﻠﺻﺣ ﻲﺗﻟا ﻖﯾﻗدﺗﻟا ﺔﻟدأ نﺄﺑ دﻘﺗﻌﻧ ﺎﻧﻧأ

Basis for Qualified Opinion

1-As disclosed in Note (9) to the consolidated financial statements, the associate "Agility Public Warehousing Company - K.S.C.P" has investment properties amounting to KD 281,360 thousand as on December 31, 2023 (December 31, 2022: KD 279,216 thousand), which are leased from the Public Authority for Industry in Kuwait, including real estate lease contracts amounting to KD 191,172 thousand (December 31, 2022: KD 190,635 thousand). It has expired as of the date of the consolidated statement of financial position and is currently under legal dispute. Furthermore, the Public Authority for Industry issued a notice to the associate on January 18, 2023, regarding its unwillingness to renew or extend these leases, and for the associate to vacate these premises within a week of issuance of the notice. As part of the legal proceedings, the associate has requested the Kuwaiti courts to prevent the Public Authority for Industry from boycotting the associate's use of such real estate. The associate was also unable to obtain a reliable estimate of the fair value of the investment properties leased from the Public Authority for Industry, due to the uncertainty associated with these properties, as a result of the ongoing litigation with the Public Authority for Industry. Therefore, we were unable to obtain sufficient and appropriate audit evidence about the existence and valuation of these investment properties due to the expiration of some of the basic lease contracts as detailed in Note 4 (a), and the inability of the management to determine the fair value of all the real estate leased from the Public Authority for Industry as at December 31, 2023. Furthermore, there is significant uncertainty around the renewal of all lease contracts concluded with the Public Authority for Industry and the rights or obligations that may arise, in addition to operating revenues, profitability and related cash flows that may be affected as a result of the ongoing legal procedures. Consequently, we were unable to determine whether any adjustments were necessary to the carrying value of these properties. Our opinion was also qualified on this matter for the prior year ended December 31, 2022.

2- As stated in Note (9 - a/5) to the consolidated financial statements and according to the judgment by the Court of Cassation against the General Administration of Customs for Kuwait ("GAC"), the associate has not recorded any adjustments related to the final outcome as at December 31, 2023 in the associate's consolidated financial statements, as the management of the associate is exploring the possibilities of entering into negotiations with GAC for settlement of awarded compensation, which in our view should have been recorded as an income and receivable. As a

result, Investment in associate and retained earnings as at December 31, 2023 are understated by KD 7,728 thousands related to the share of investment in associate. Further, the Associate is also eligible for 7% interest per annum on awarded compensation, the financial impact of interest has not been determined in the Associate consolidated financial statements. Our opinion was also qualified on this matter for the prior year ended December 31, 2022. 3- As stated in Note (9 - b) to the consolidated financial statements, an associate has filed an arbitration related to one of its investments. Due to the nature and significant uncertainty around the investment and outcome of the arbitration, the auditors of the associate were unable to obtain sufficient appropriate audit evidence about the investment and the recoverability of the loan granted by the associate to the related investee as at December 31, 2023. Consequently, we were unable to determine whether any adjustments to the carrying value of the investment in associate was necessary. Our opinion was also qualified on this matter for the prior year ended December 31, 2022. We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Group in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants (including International Independence Standards) (IESBA Code) and we have fulfilled our other ethical responsibilities in accordance with the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis of our qualified opinion.
.ﺔﻠﻴﻣﺰﻟا ﺔﻛﺮﺸﻟﺎﺑ ﺔﺻﺎخ�ا ﺔﻌﻤج�ا ﺔﻴﻟﺎﳌا تﺎﻨيﺒﻟا �� يأﺮﻟا ﻞﻳﺪﻌ� راﺮﻘﺑ ﻂﺒﺗﺮﻣ ﺔﻌﻤج�ا ﺔﻴﻟﺎﳌا ﻢﺋاﻮﻘﻟا �� ﻆﻔﺤﺘﳌا يأﺮﻟا ﻞﻳﺪﻌ� Removal of the qualification is subject to a resolution towards the removal of the qualification from the Associate's consolidated financial statements.	ي�ﻟا تاﻮﻄخ�ا ﺔﻛﺮﺸﻟا ﺎ�� مﻮﻘﺘﺳ يأر �� درو ﺎﻣ ﺔج�ﺎﻌﳌ تﺎﺑﺎﺴح�ا ﺐﻗا ﺮﻣ
.ﺔﻠﻴﻣﺰﻟا ﺔﻛﺮﺸﻟﺎﺑ ﺔﺻﺎخ�ا ﺔﻌﻤج�ا ﺔﻴﻟﺎﳌا تﺎﻨيﺒﻟا �� يأﺮﻟا ﻞﻳﺪﻌ� راﺮﻘﺑ ﻂﺒﺗﺮﻣ ﺔﻌﻤج�ا ﺔﻴﻟﺎﳌا ﻢﺋاﻮﻘﻟا �� ﻆﻔﺤﺘﳌا يأﺮﻟا ﻞﻳﺪﻌ� Removal of the qualification is subject to a resolution towards the removal of the qualification from the Associate's consolidated financial statements.	ي�ﻣﺰﻟا لوﺪج�ا تاﻮﻄخ�ا ﺬﻴﻔﻨﺘﻟ يأر �� درو ﺎﻣ ﺔج�ﺎﻌﳌ تﺎﺑﺎﺴح�ا ﺐﻗا ﺮﻣ

Corporate Actions	(ﺔﻴﺴﺳﺆﳌا تاءاﺮﺟﻹا) ﻢهﺳﻷا تﺎﻗﺎﻘﺤﺘﺳا
ﺔﺒﺴنﻟا	ﺔﻤﻴﻘﻟا
ﺪﺟﻮﻳ ﻻ Not applicable	ﺪﺟﻮﻳ ﻻ Not applicable	ﺔﻳﺪﻘﻧ تﺎﻌيزﻮﺗ Cash Dividends
%5 5%	ﻢهﺳ 100 ﻞ�ﻟ ﻢهﺳأ 5 ﻊيزﻮﺗ Distribution of 5 shares for each 100 shares	ﺔﺤﻨﻣ ﻢهﺳأ تﺎﻌيزﻮﺗ Bonus Share
ﺪﺟﻮﻳ ﻻ Not applicable	ﺪﺟﻮﻳ ﻻ Not applicable	ىﺮﺧأ تﺎﻌيزﻮﺗ Other Dividend
ﺪﺟﻮﻳ ﻻ Not applicable	ﺪﺟﻮﻳ ﻻ Not applicable	حﺎ�رأ ﻊيزﻮﺗ مﺪﻋ No Dividends
ﺪﺟﻮﻳ ﻻ Not applicable	ﺪﺟﻮﻳ ﻻ Not applicable	راﺪﺻﻹا ةوﻼﻋ	ﺪﺟﻮﻳ ﻻ Not applicable	لﺎﳌا سأر ةدﺎ�ز Capital Increase
Issue Premium
ﺪﺟﻮﻳ ﻻ Not applicable	ﺪﺟﻮﻳ ﻻ Not applicable	لﺎﳌا سأر ﺾﻴﻔﺨﺗ Capital Decrease

ﺔﻛﺮﺸﻟا ﻢﺘﺧ	ﻊﻴﻗﻮﺘﻟا	ﻲﻔﻴﻇﻮﻟا ى�ﺴﳌا	ﻢﺳﻻا
Company Seal	Signature	Title	Name
	ةرادﻹا ﺲﻠﺠﻣ ﺲيﺋر ﺐﺋﺎﻧ يﺬﻴﻔﻨﺘﻟا ﺲيﺋﺮﻟاو Vice Chairman & CEO	ىى�يﻌﻟا نﺎﻄﻠﺳ ﻞﻴﻤﺟ ﻞﺼﻴﻓ Faisal Jamil Sultan Al Essa

The Shareholders of

National Real Estate Company K.P.S.C and Its Subsidiaries State of Kuwait

INDEPENDENT AUDITOR'S REPORT

Report on the Audit of the Consolidated Financial Statements

Qualified Opinion

We have audited the consolidated financial statements of National Real Estate Company K.P.S.C (the "Parent Company") and its subsidiaries (the "Group"), which comprise the consolidated statement of financial position as at December 31, 2023, and the consolidated statements of profit or loss, other comprehensive income, changes in equity and cash flows for the year then ended, and notes to the consolidated financial statements, including a summary of material accounting policies information.

In our opinion, except for the possible effect of the matter described in Basis for Qualified Opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Group as at December 31, 2023, and its consolidated financial performance and its consolidated cash flows for the year then ended in accordance with International Financial Reporting Standards (IFRSs).

Basis for Qualified Opinion

• 1- As disclosed in Note (9) to the consolidated financial statements, the associate "Agility Public Warehousing Company - K.S.C.P" has investment properties amounting to KD 281,360 thousand as on December 31, 2023 (December 31, 2022: KD 279,216 thousand), which are leased from the Public Authority for Industry in Kuwait, including real estate lease contracts amounting to KD 191,172 thousand (December 31, 2022: KD 190,635 thousand). It has expired as of the date of the consolidated statement of financial position and is currently under legal dispute. Furthermore, the Public Authority for Industry issued a notice to the associate on January 18, 2023, regarding its unwillingness to renew or extend these leases, and for the associate to vacate these premises within a week of issuance of the notice. As part of the legal proceedings, the associate has requested the Kuwaiti courts to prevent the Public Authority for Industry from boycotting the associate's use of such real estate. The associate was also unable to obtain a reliable estimate of the fair value of the investment properties leased from the Public Authority for Industry, due to the uncertainty associated with these properties, as a result of the ongoing litigation with the Public Authority for Industry. Therefore, we were unable to obtain sufficient and appropriate audit evidence about the existence and valuation of these investment properties due to the expiration of some of the basic lease contracts as detailed in Note 4 (a), and the inability of the management to determine the fair value of all the real estate leased from the Public Authority for Industry as at December 31, 2023. Furthermore, there is significant uncertainty around the renewal of all lease contracts concluded with the Public Authority for Industry and the rights or obligations that may arise, in addition to operating revenues, profitability and related cash flows that may be affected as a result of the ongoing legal procedures. Consequently, we were unable to determine whether any adjustments were necessary to the carrying value of these properties. Our opinion was also qualified on this matter for the prior year ended December 31, 2022.

• 2- As stated in Note (9 - a/5) to the consolidated financial statements and according to the judgment by the Court of Cassation against the General Administration of Customs for Kuwait ("GAC"), the associate has not recorded any adjustments related to the final outcome as at December 31, 2023 in the associate's consolidated financial statements, as the management of the associate is exploring the possibilities of entering into negotiations with GAC for settlement of awarded compensation, which in our view should have been recorded as an income and receivable. As a result, Investment in associate and retained earnings as at December 31, 2023 are understated by KD 7,728 thousands related to the share of investment in associate. Further, the Associate is also eligible for 7% interest per annum on awarded compensation, the financial impact of interest has not been determined in the Associate consolidated financial statements. Our opinion was also qualified on this matter for the prior year ended December 31, 2022.

• 3- As stated in Note (9 - b) to the consolidated financial statements, an associate has filed an arbitration related to one of its investments. Due to the nature and significant uncertainty around the investment and outcome of the arbitration, the auditors of the associate were unable to obtain sufficient appropriate audit evidence about the investment and the recoverability of the loan granted by the associate to the related investee as at December 31, 2023. Consequently, we were unable to determine whether any adjustments to the carrying value of the investment in associate was necessary. Our opinion was also qualified on this matter for the prior year ended December 31, 2022.

-2-

We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Group in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants (including International Independence Standards) (IESBA Code) and we have fulfilled our other ethical responsibilities in accordance with the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis of our qualified opinion.

Emphasis of Matter

We draw attention to Note 9 (a) to the consolidated financial statements, which describes the legal cases of the associate. The ultimate outcome of these legal cases cannot presently be determined and therefore no provision has been made in the consolidated financial statements of the associate. Our opinion is not modified in respect of this matter.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current year. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. For each matter below, our description of how our audit addressed the matter is provided in that context.

Valuation of properties under development

Properties under development of the Group represents 6,62% of total assets and are carried at the lower of cost or net realizable value, which requires management's judgement in determining an appropriate costing basis and provision for write down of properties under development since they are based on forecast of estimated selling price less costs to sell and assessing whether the provision is adequate. The determination of net realizable value requires management's judgement and estimates in which it assumes the prevailing market value of similar properties in that location, recent sale transactions in the area, nature of property, location, size and the economic benefits. The management annually performs the assessment of net realizable value by using external appraisers. Due to significance of judgement and related estimation uncertainty used in the valuation, we identified this as a key audit matter. The accounting policies relating to property under development are given in Note 2 to the consolidated financial statements.

As part of our audit procedures, we have reviewed sample of properties under development to assess the measurement basis. We have obtained the valuation reports, reviewed the appropriateness of the valuation technique and reasonableness of data used in determination of selling price and reviewed the assumptions and estimates made by the management. We have also reviewed the underlying documents of estimated cost to completion and the related costs necessary to make the sale which are reduced from selling price to determine the net realizable value.

Furthermore, we reviewed the adequacy of the disclosures relating to the properties under development which is provided in Note 11 to the consolidated financial statements.

Investment in an associate and joint ventures

The carrying value of the investment in an associate and joint ventures are significant to the Group's consolidated financial statements. The share of results, impairment and reversal of impairment recognized by the Group contributes significantly to the Group's results. The Group uses judgement and estimates to assess the existence or absence of any indicators of impairment in the carrying value of the investment in the associate and joint ventures. Accordingly, we have considered them as a key audit matter. The accounting policies of the investment in the associate and joint ventures are given in Note 2 to the consolidated financial statements.

As part of our audit procedures, we inquired whether the management has identified existence or absence of any indicators of impairment in its associate and joint ventures, including significant changes in economy, market, legal environment, industry or the political environment affecting the associate and joint ventures' business and also considering any changes in the financial condition. We obtained management's impairment calculations and reviewed the appropriateness of the valuation technique and the reasonableness of key assumptions and data used in the valuation.

Furthermore, we reviewed the adequacy of the disclosures relating to associate and joint ventures, which is provided in Note 8, 9 to the consolidated financial statements.

-3-

Other information

Management is responsible for the other information. The other information consists of the information included in the Group's annual report for the year 2023, other than the consolidated financial statements and the auditor's report thereon. We did not obtain the annual report of the Group, which also includes the report of the Board of Directors, prior to the date of the auditor's report, and we expect to obtain those reports after the date of the auditor's report. Our opinion on the consolidated financial statements does not cover the other information, and we do not express any form of assurance conclusion thereon.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRSs, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Group's financial reporting process.

Auditors' Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• • Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group's internal control.

• • Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• • Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors' report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors' report. However, future events or conditions may cause the Group to cease to continue as a going concern.

• • Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

• • Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.