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Zain Group holds AGM with a quorum of 79.2%; Assembly approves extension of a minimum 35 fils dividend policy for another 3 years until 2028

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KUWAIT CITY, Apr 16: The Zain Group Annual General Meeting(AGM) was held at the Zain Group’s ‎headquarters in Kuwait, attended with a quorum of 79.2% of shareholders whereby they were presented with ‎the Zain Group’s 2024 annual report entitled “Better Lives, Lasting Connections” which highlights the financial ‎statements, Governance and Auditors reports and the major achievements of Zain Group and its operations ‎and subsidiaries across Middle East and Africa, for the year ended December 31, 2024. Additionally, Zain Group ‎released its 2024 Sustainability Report entitled “The New Paradigm Shift”. ‎

The shareholders approved all items on the AGM agenda, including the recommended cash dividend of 25% ‎‎(25fils per share) to the shareholders already registered in the company’s record date of Sunday, 4 May 2025. ‎Cash dividends will be paid to shareholders commencing Wednesday, 7 May 2025. Notably, the Assembly also ‎approved the extension of a minimum 35 fils dividend policy for another 3 years until 2028.‎

Attractive dividends for Shareholders

This 25filsdividend for H2 2024 follows the semi-annual dividend of 10 fils distributed earlier in 2024, totaling 35 ‎fils per share for the year and reflecting a 73% payout ratio, one of the highest in the region.Total cash dividends ‎for 2024 amounted to KWD 151.4 million ($492 million). In 2023, Zain adopted a minimum cash dividend policy of ‎‎35 fils per share for three years that has now been extended till 2028.‎

Solid Financial Performance during 2024‎

‎2024 was a defining year for Zain in growing the business and increasing shareholder value despite socio-‎economic challenges (primarily Sudan) across the company’s footprint. The implementation of numerous ESG ‎initiatives as well as the acceleration of digital transformation and revenue growth from new business verticals ‎have future-proofed Zain and prepared the company for the next phase of growth.‎

During the AGM, Zain Group presented its financial results for the full-year 2024, whereby the company served ‎‎49 million customers.For FY-24, Zain Group generated consolidated revenue of KD 2 billion (USD 6.4 billion), up ‎‎3% YoY, a 15-year high. Consolidated EBITDA for the period reached KD 689 million (USD 2.25 billion), with ‎normalized EBITDA growth of 2% (excluding number range claim in 2023), reflecting an EBITDA margin of 35%. ‎Consolidated net income reached KD 208 million (USD 677 million), representing normalized net income growth ‎of 15%, when adjusted for number range claim and Tower transaction gain in 2023 and gain on business ‎combination from acquisition of IHS (Kuwait TowerCo) in 2024. Earnings per share amounted to 48 fils (USD ‎‎0.16). ‎

Excerpts from the Board of Directors statement at the AGM

The Board of Directors welcomes all shareholders and affiliated parties to the Annual General Assembly of Zain ‎Group.‎

Over the past year, Zain has reaffirmed its regional position as an innovative ICT and digital lifestyle provider, ‎playing a major role in shaping digital economies in markets across the Middle East and Africa. The company’s ‎focus has been on enhancing financial inclusion, developing advanced fintech solutions, digital services and ‎building data infrastructure centers. Zain’s dynamic digital ecosystem has also focused on catering to meet the ‎growing demand for cloud services, cybersecurity, data analytics, and emerging technologies to empower ‎enterprises and government entities that provide the region’s markets with a solid foundation for this digital ‎economy. ‎

Zain Group is committed to implementing a solid framework model for corporate governance, with an emphasis ‎on enhancing its comprehensive governance environment. In this context, Zain was crowned World Finance’s ‎‎’Best Corporate Governance’ recipient 2024 for Kuwait for the fourth consecutive year. This excellence was ‎further highlighted by Zain’s recent upgrade to BBB in the recently issued Environmental, Social and Governance ‎Standards Index (MSCI ESG).‎

Zain Group’s ESG practices are consistently rated highly by S&P, MSCI, and FTSE rating agencies. ESG practices ‎are critical for stakeholders as they reflect the Group’s commitment to sustainability, and long-term, responsible ‎management.‎

On behalf of Zain Group Board Members, executive management, and employees, I would like to express our ‎combined sincere appreciation for the confidence shown in us by our valued customers and shareholders, as ‎well as by all the government ministries, and regulatory authorities across our markets of operation.‎

Excerpts from Zain Vice-Chairman and Group CEO, Bader Al Kharafi’sAGM statement

As a leading entity listed on Kuwait’s Premier market as well as having local listings in Saudi Arabia (KSA), Iraq, ‎and Bahrain, Zain has an unwavering commitment to drive profitable and sustainable growth, and create value ‎for all stakeholders. ‎

To achieve this, the Board and executive management have worked closely to overcome socio-economic ‎challenges in our markets, where we maximize value creation by investing heavily in our networks, ‎technologies, and people. We have succeeded in implementing future-focused strategies to drive forward the ‎evolution of digital ecosystems across the Group’s footprint, resulting in us extending our market leadership in ‎many highly competitive, evolving, and complex markets. ‎

From 4SIGHT to 4WARD

‎2024 witnessed the ongoing implementation of our 4SIGHT digital transformation strategy that delivered ‎significant milestones and solid performances across all our markets, driving sustainable growth and value to our ‎customers and stakeholders. ‎

In December 2024, we unveiled the ‘4WARD-Progress with Purpose’ corporate strategy to accelerate the ‎company’s evolution into a purpose-driven TechCo conglomerate providing ‘Better Lives and Lasting ‎Connections’.The strategy was formulated internally and builds on the significant momentum and ‎transformational accomplishments achieved under the previous 4SIGHT corporate strategy.‎

‎4WARD comprises four primary forces, each with three accelerators (thus 12 key accelerators in total) to meet ‎the ever-growing demand for superior and dynamic consumer and enterprise services. These four forces – ‎Customer Delight; Digital Zain; Purpose and Action; and Collaborative Growth – will focus on continuity, ‎acceleration, collaboration and digital innovation, all designed to foster value creation by fast-tracking Zain’s ‎evolution from a predominantly mobile centric operator into a purpose driven, customer-centric, future-proof, ‎and impactful leading regional TechCo. ‎

We are confident that 4WARD will build on the success of the 4SIGHT strategy and provide the necessary ‎impetus for Zain’s continued evolution, growth, relevance, and impact on shaping societies and drive the Zain ‎brand value to even greater heights. ‎

CAPEX investments in network expansion and cutting-edge technologies is driving revenue growth and ‎improving mobile and data experience for customers

During the year, Zain enhanced its operational capabilities significantly through substantial capital expenditure ‎‎(CAPEX) amounting to USD 1.1 billion (reflecting 17% of revenues), which primarily focused on expanding the ‎company’s 4G and 5G networks, as well as enhancing fiber-to-the-home (FTTH) infrastructure. ‎

This has driven revenue growth in profitable areas such as our Enterprise and Government businesses, as well ‎as in our digital services to consumer offerings across our footprint. ‎

Our state-of-the-art networks are empowering the spectacular growth of all the new business verticals, ‎including Fintech, ZainTECH, ZOI, FOO and Dizlee, generating additional revenue of USD 253 millionin 2024, which ‎reflects revenue growth of 130% YoY. Consolidated data revenue reached USD 2.44 billion, representing 38% of ‎the Group’s 2024 revenue.‎

The main impact of our CAPEX investment is the massive enhancement that it provides mobile and data ‎experience for individuals, businesses and government clientele.‎

Numerous achievements of the 4SIGHT strategy (2019-2024) have future-proofed Zain

This solid 2024 performance can be attributed to the successful implementation of the ‘4SIGHT’ corporate ‎strategy that was born in 2019 and concluded in December 2024, achieving its aim to transform the company into ‎a multi-faceted provider of digital services for consumers, governments, and businesses. 4SIGHT was based on ‎two strategic directions, centered on evolving Zain’s core telecom business to maximize value and leverage the ‎company’s many strengths to invest in selected high-growth verticals beyond standard mobile services.‎

Since then, 4SIGHT has successfully steered Zain’s transformation from being a mobile-centric company to a ‎multi-faceted organization, successfully transforming its fixed and mobile services, and expanding into several ‎new business verticals including ICT, Digital Mobile Operations, Fintech, Entertainment, Digital Infrastructure, ‎Subsea and Cross-Border Connectivity, and more.‎

Landmark achievements concluded under 4SIGHT among many others include the creation of:‎

‎1. ZainTECH, : the Group’s regional ICT and Digital Solutions arm was established in 2021, positioning Zain as a ‎key player in the digital transformation of enterprises and governments across the region. ‎

‎2. Fintech: Zain launched fintech offerings across several markets, gaining strong market traction with Tamam, a ‎microfinance play in KSA, Bookey in Kuwait, and Bede in Bahrain, and the revamping of Zain Cash to become a ‎market leader in Jordan and Iraq.‎

‎3. Network Tower strategy: This created enormous value through the sale and leaseback deal of Zain towers in ‎KSA, Jordan, and Iraq over the years. The landmark merger of the tower portfolios of Zain and Ooredoo will ‎create the largest TowerCo in the region with over 30,000 towers. In December 2024, Zain increased its 30% ‎ownership in IHS Kuwait Limited to 100%. ‎

‎4. Zain Omantel International (ZOI): In partnership with Omantel, Zain established ZOI, a regional wholesale ‎powerhouse serving operators, international carriers, and hyperscalers. Notably ZOI was the highest-ranked ‎carrier network in the region, and top 100 worldwide, out of 70,000 active networks. ‎

‎5. Digital Operators: In KSA, under the Yaqoot brand, in Iraq under the oodi brand, and in Kuwait in partnership ‎with RedBull Mobile, we have cumulatively witnessed impressive customer and revenue growth. By delivering a ‎market-leading app-based experience targeting a younger audience, we provide digital-grade platforms to ‎digitize customer journeys to streamline processes.‎

‎6. Dizlee: Zain’s Group-wide dynamic API platform and digital monetization ecosystem offers innovative ‎entertainment and gaming solutions, direct operator billing, messaging, and digital authentication. ‎

The multiple digital transformational initiatives and expansion of new business verticals achieved under 4SIGHT ‎has driven business growth and positioned Zain firmly as a leading provider of innovative ICT and digital lifestyle ‎services, delivering meaningful connectivity that empowers societies. ‎

Zain’s Sustainability and climate change efforts are leading the region ‎

Zain maintains an unwavering commitment to integrating climate action into its corporate sustainability strategy, ‎which was first announced in 2020, paving the way for a resilient, low-carbon future while addressing the ‎pressing environmental challenges facing the Middle East and North Africa (MENA) region.‎

Building on the foundation of its five-year corporate sustainability strategy, Zain made significant progress in ‎‎2024, as it marked a pivotal step in the company’s journey toward establishing long-term sustainable value for all ‎stakeholders by accelerating its climate action agenda. Zain submitted and received approval on its Net-Zero ‎targets from the Science-Based Targets initiative (SBTi), reflecting the company’s dedication to a Net-Zero ‎economy and making Zain the only Kuwaiti-based corporate to have its emission reduction targets verified by ‎the SBTi.‎

The powerful and admired Zain brand is a key aspect of the company’s success

Our efforts in every aspect of the business resulted in a 14.5% YoY increase of Zain’s brand value to USD 3.5 ‎billion (according to the BrandFinance 2025 rankings), ranking it among the top 25 strongest telecom brands and ‎top 40 most valuable telecom brands globally. The continual growth in our brand valuation and rankings some 18 ‎years after the initial Zain brand launch in September 2007 is testament to the passionate actions, services, and ‎investment the company has placed in establishing its name and identity. ‎

The innovative media campaigns, numerous corporate sustainability, inclusion, diversity, and equity (IDE) ‎initiatives Zain has instituted over the years have won us the hearts and minds of our customers and ‎employees, which are key drivers for the Zain brand’s value success.‎

Today, we have a social media following exceeding 35 million, and annually, we count over 200 million YouTube ‎views of our creative videos, with many of them going viral.‎

Conclusion

On behalf of the executive management team, I would like to extend my sincere thanks to the talented 8,000-‎strong Zain workforce, our 49 million individual customers and other corporate clientele and government ‎bodies, all of whom contribute to the Zain ecosystem and our success in providing meaningful connectivity to ‎the communities we serve. ‎

Our focus for 2025 will be on executing our ‘4WARD-Progress with Purpose’ corporate strategy, accelerating our ‎evolution to a TechCo through investment in network expansion, digital technologies, strategic business ‎opportunities, and talent, in a collaborative and sustainable manner, to ensure the company reaps the rewards ‎of being at the forefront of digital transformation in the ever-growing mobile and ICT sector. This will take the ‎Zain brand to new heights.‎

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Kuwait’s oil sector drives push for safer workplaces

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Minister of Oil representative Nouf Behbehani inaugurates the 12th International Conference on Occupational Safety, Health and Cybersecurity.

KUWAIT CITY, May 8: Minister of Oil representative at the 12th International Conference on Occupational Safety, Health and Cybersecurity and acting Director General of the Environment Public Authority (EPA) Nouf Behbehani has affirmed the commitment of the ministry to provide all the necessary facilities to industrialists as part of the expansion of craft and industrial enterprises supporting the oil sector. Speaking on the sidelines of the conference organized by the American Society of Occupational Safety and Health Professionals-Kuwait Branch on May 7-8, Behbehani pointed out that EPA Law No. 42/2014 and its amendment, Law No. 99/2015, require all parties to implement health and occupational regulations in newly established industrial facilities in order to obtain professional and preventative accreditation. She stressed that the authority is striving to facilitate the process of obtaining approvals and accreditation for facilities in accordance with the regulations, indicating EPA has adopted an open-door policy for all professionals and industrialists. She explained the accreditation for entities seeking to implement quality must take into account occupational health and preventive regulations, while emphasizing the need to provide awareness opportunities for the industrial and oil sectors and all sectors involved in hazardous work.

She praised the role of the conference organizers; considering this a crucial step in keeping up with developments in the fields of security, safety, and protection from fires and disasters. Moreover, Chairman of the Board of Directors of the American Society of Safety Professionals Fadel Al-Ali revealed the conference focused on the latest developments in health and safety technology and policies, procedures and changes “that make us more determined and committed to implement them.” He said the conference workshops included stakeholders from governmental and private entities; as well as specialists in health, safety and the environment, with the aim of improving performance and keeping pace with developments. He added the oil and industrial sectors are the most impacted by security and safety operations. “Therefore, the society focuses on these entities and their participation. The Ministry of Oil and Kuwait Petroleum Corporation are the sponsors of the conference. Challenges are ongoing; hence, the need for joint action to overcome them,” he stressed.

He urged all stakeholders in the oil, industrial and contracting industries to be updated on global requirements and policies, as well as utilize and implement best practices. He said the conference tackled more than 20 working papers, including research on regional and global security and safety issues. CEO of the American Society of Occupational Safety Professionals – Kuwait Branch Eng. Bader Al-Hadrami stated that artificial intelligence currently provides valuable opportunities to develop the occupational safety and health systems, including modern mechanisms that help implement requirements quickly. He added the 12th edition of the conference focuses on diverse experiences, with more than 200 participants, to achieve the greatest possible benefit for those who participate in the workshops and lectures. He stated that the most difficult challenge is cybersecurity, which has prompted the society to focus on it, based on emerging solutions. He said the discussions set specific standards for measuring the risk index in protection and developing optimal solutions.

Conference Director General Ahmed Ismail said that after 25 years of conference work, this year’s conference seeks to achieve the greatest possible success by discussing the latest developments in the field of health and safety, with the aim of producing the best recommendations that serve participants locally and regionally. He disclosed that the conference participants include ministries, government agencies, oil sector companies and the private sector — all of whom are interested in the fields of health, security, and safety. He added that the cost of implementing international safety standards is estimated at tens of millions of dollars annually, with the amount varying from one entity to another; depending on the region, entity and surrounding risks. He pointed out that spending on security and safety has increased over the past 10 years, given the heightened focus on these areas. Occupational Safety Consultant Mansour Fayez Al-Maghamsi explained that his participation in the exhibition stems from his membership in the American Society of Occupational Safety Professionals. He also presented a working paper on occupational safety and health management in petroleum refineries, as it is the main pillar for aircraft refueling and other industries. He said the society boasts of extensive expertise in cybersecurity and other areas needed by many sectors, in addition to providing members and others with the latest developments in the field of occupational health and safety.

By Najeh Bilal
Al-Seyassah/Arab Times Staff 

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Long-haul carrier Emirates reports record annual profit of $5.2 billion

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An Emirates jetliner comes in for landing at the Dubai International Airport in Dubai, United Arab Emirates, Dec 11, 2019. (AP)

DUBAI, United Arab Emirates, May 8, (AP): Long-haul carrier Emirates reported on Thursday that it earned annual profits of $5.2 billion, making it one of the world’s most-profitable airlines. The Dubai-based carrier served 53.7 million passengers out of its hub of Dubai International Airport, compared to 51.9 million passengers in the fiscal year prior. It had aftertax profits of $4.7 billion that same period.

The overall Emirates Group, owned by Dubai’s sovereign wealth fund known as the Investment Corporation of Dubai, saw annual profits of $5.6 billion, compared to $5.1 billion the year before. “Our excellent financial standing enables us to continue building on and scaling up from our successful business models,” said Sheikh Ahmed bin Saeed Al Maktom, Emirates’ chairman and chief executive.

“While some markets are jittery about trade and travel restrictions, volatility is not new in our industry,” he said. “We simply adapt and navigate around these challenges.” Emirates’ financial year runs from April 1 to March 31, including revenue from both 2024 and 2025. The carrier reported to have 260 aircraft and that it’s flying to 148 locations around the world, long relying on the Boeing 777 and the double-decker Airbus A380.

However, Emirates has begun introducing the Airbus A350 as well to its schedule. Emirates serves as a crucial link in East-West travel and is the crown jewel of what experts and diplomats refer to as “Dubai Inc.” – a series of interconnected companies overseen by the sheikhdom’s ruling Al Maktoum family. The Emirates’ results track with those for its base, Dubai International Airport.

The world’s busiest airport for international travelers had a record 92.3 million passengers pass through its terminals in 2024. The airport now plans to move to the city-state’s second, sprawling airfield in its southern desert reaches in the next 10 years in a project worth nearly $35 billion. A real-estate boom and the city’s highest-ever tourism numbers have made Dubai a destination as well as a layover.

However, the city is now grappling with increasing traffic and costs pressuring both its Emirati citizens and the foreign residents who power its economy. As one of seven hereditarily ruled, autocratic sheikhdoms that make up the United Arab Emirates, Dubai provided Emirates over $4 billion in a bailout at the height of the pandemic. In its report on Thursday, Emirates said it had repaid $3.6 billion of that loan.

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Asian shares trade higher after Wall Street climbs moderately

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People stand in front of an electronic stock board showing Japan’s Nikkei index at a securities firm on May 8, 2025, in Tokyo. (AP)

TOKYO, May 8, (AP): Asian shares rose moderately Thursday after a lackluster finish on Wall Street, with most shares ticking higher after the Federal Reserve left its main interest rate unchanged, as was widely expected. Japan’s benchmark Nikkei 225 edged up 0.4% in afternoon trading to 36,943.30. Australia’s S&P/ASX 200 added 0.2% to 8,191.70.

South Korea’s Kospi rose 0.3% to 2,582.07. Hong Kong’s Hang Seng surged 0.5% to 22,807.50, while the Shanghai Composite gained 0.3% to 3,353.81. Investors continue to watch with trepidation President Donald Trump ‘s comments about the trade imbalance, as well as the reactions from various nations to appease the US administration and the overall confusion over the long-term economic impact.

Geo-political tensions also weighed on market sentiments, centered around the standoff between India and Pakistan. Pakistan has said it will avenge those killed by India’s missile strikes, which New Delhi called retaliation for last month’s massacre of Indian tourists in India-controlled Kashmir. Pakistan called the strikes an act of war and claimed it downed several Indian fighter jets.

The missiles killed 31 people, including women and children, in Pakistan-administered Kashmir and the country’s Punjab province, Pakistan’s military said. The strikes targeted at least nine sites “where terrorist attacks against India have been planned,” India’s Defense Ministry said. Two mosques were hit. On Wall Street, the S&P 500 gained 0.4%, coming off a two-day losing streak that had snapped its nine-day winning run.

The Dow Jones Industrial Average added 284 points, or 0.7%, and the Nasdaq composite rose 0.3%. Indexes swiveled repeatedly through the day, and the Dow briefly climbed as many as 400 points on hopes that the United States and China may be making the first moves toward a trade deal that could protect the global economy.

The world’s two largest economies have been placing ever-increasing tariffs on products coming from each other in an escalating trade war, and the fear is that they could cause a recession unless they allow trade to move more freely. The announcement for high-level talks between US and Chinese officials this weekend in Switzerland helped raise optimism, but some of that washed away after Trump said he would not reduce his 145% tariffs on Chinese goods as a condition for negotiations. 

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