• Performance reflects continued progress in financial restructuring, operational efficiency, and the strengthening of the Group’s capital structure

Kuwait: ACICO Group K.S.C.P. held its Annual General Meeting for the financial year ended 31 December 2025 on Thursday, 16 April 2026, chaired by Mr. Emad Abdullah Al-Essa, Chairman of the Board, with a shareholder attendance rate of 74.7%.

During the meeting, the General Assembly approved all items on the agenda, including the Board of Directors’ report, the auditor’s report, and the audited financial statements for the financial year ended 31 December 2025, in addition to the corporate governance report, the audit committee report, Board remuneration, and the appointment of the auditor for the financial year ending 31 December 2026, in accordance with the approved agenda.

In 2025, the Group recorded a net profit of KWD 2.9 million, compared to a net loss of KWD 11.2 million in 2024, reflecting continued progress in the implementation of its restructuring and transformation plan, which was launched to restore profitability, strengthen financial sustainability, and improve operational efficiency across the Group’s business segments.

Operating revenues increased to KWD 75.6 million in 2025, compared to KWD 66.6 million in 2024, representing growth of 14%, reflecting improved operating performance and continued momentum across the Group’s core activities.

Across its construction and building materials operations, ACICO delivered strong growth during 2025, supported by improved execution, stronger demand, and better utilisation across key business lines. The Contracting division recorded the strongest growth momentum within the Group, with revenue doubling year-on-year, reflecting the Group’s increasing strategic focus on this segment and the business’s ability to translate market opportunities into tangible results.

As part of its financial restructuring efforts, ACICO continued during 2025 to take tangible steps to strengthen its capital structure and reduce indebtedness, recording gains from loan settlements of KWD 9.7 million. These measures also contributed to reducing the Group’s on-balance-sheet debt by KWD 69.4 million, further strengthening its financial position and improving its capital structure.

Total equity increased to KWD 29.7 million in 2025, compared to KWD 27.8 million in 2024, while total liabilities declined to KWD 211.4 million, reflecting continued progress in deleveraging and improving the balance sheet structure. Finance costs also decreased from KWD 15.5 million to KWD 7.3 million, reflecting improved funding efficiency and lower financing burdens. Total assets stood at KWD 241 million at year-end, compared to KWD 315 million as at 31 December 2024, primarily due to debt settlements, the strategic reorganisation of certain assets, and the disposal of selected assets as part of the ongoing restructuring programme.

Operationally, 2025 reflected continued momentum across ACICO’s integrated industrial and construction platform. Within its manufacturing operations, the Group continued to support projects in Kuwait through its specialised products and industrial solutions, while further enhancing production efficiency and strengthening operating capabilities in line with market requirements.

The year also witnessed a number of operational improvements and capacity enhancement initiatives across several facilities, including the expansion of hollowcore production capacity within the precast segment, and the development of storage facilities to support smoother operations and better utilisation of production capacity. In parallel, ACICO achieved important quality milestones, with its AAC production facilities in Kuwait and the Kingdom of Saudi Arabia obtaining the Kuwait Quality Mark, making the Group the first AAC producer in the GCC to receive this certification.

Within its contracting and construction operations, ACICO continued to expand its project portfolio during the year and strengthen its presence across housing and infrastructure-related projects. Execution also remained active, supported by stronger collaboration with contractors and project developers, contributing to continued business growth across the construction segment.

Supporting these activities, ACICO continued to benefit from its integrated operating model, which combines manufacturing capabilities, construction expertise, and internal logistics coordination within a unified platform. During the year, the Group also implemented several initiatives aimed at enhancing fleet efficiency, upgrading selected equipment, and improving maintenance standards, contributing to stronger operational coordination, improved efficiency, and lower operating costs.

Commenting on the year’s results, Mr. Emad Abdullah Al-Essa, Chairman of ACICO Group, said: “ACICO Group’s performance in 2025 reflects continued progress in executing our strategic priorities, most notably financial restructuring, enhancing operational efficiency, and reinforcing a more sustainable and market-aligned business model. The year’s results also demonstrate tangible momentum across our core business segments, supported by stronger operating coordination, improved production efficiency, and continued execution across housing and infrastructure-related projects.”

He added: “As we move into the next phase, ACICO remains focused on preserving financial discipline, strengthening operational reliability, enhancing production and execution capabilities, and pursuing selective growth opportunities aligned with demand across Kuwait and the wider GCC. Our integrated business model continues to provide a strong platform to support housing and infrastructure development efficiently and consistently, while reinforcing ACICO’s position as a trusted industrial and construction partner.”

As part of its efforts to support homeowners and enhance customer experience, ACICO also expanded its partnerships during 2025 with a number of local banks, including National Bank of Kuwait, Kuwait Finance House, and Warba Bank, to provide financing solutions and related benefits that support customers throughout the home-building journey, from planning through execution and delivery.

The end of 2025 also marked the election of a new Board of Directors, signalling the beginning of a new phase built on stronger foundations for growth and development. The new Board has commenced its mandate with a vision focused on enhancing operational efficiency, developing production capacity, increasing market share through new projects, and reviewing the Group’s strategic plan for the coming years to ensure alignment with national development priorities and sustainable value creation for shareholders.

The Group confirmed that its priorities for the next phase will centre on continuing restructuring initiatives, reinforcing financial discipline, strengthening the balance sheet, improving working capital efficiency, enhancing operational performance across manufacturing, logistics, and construction activities, and pursuing measured growth opportunities in support of sustainable and balanced long-term value creation.

In closing, Mr. Al-Essa expressed his appreciation to the Group’s shareholders for their continued trust and support, and extended his gratitude to the Board of Directors, executive management, and employees for their efforts and commitment, which have contributed to advancing ACICO’s transformation and laying stronger foundations for the next stage.