Kuwait's Alafco third quarter net profit down 47%

Aviation company targeting a fleet of 59 owned and managed aircraft by 2010 end.
PROFIT FALL: Kuwaits Aviation Lease and Finance Co posted a 47% fall in net profit in Q3 of its fiscal year. (Getty Images)
By Diana Elias
Sun 18 Jul 2010 07:26 PM

Kuwait's Aviation Lease and Finance Co (Alafco) posted on Sunday a 47 percent fall in net profit in the third quarter of its fiscal year .

Net income in the three months to June 30 fell to $9.42 million, from $17.6 million in the same period a year earlier, the company said in a statement to the bourse.

The aircraft leasing company made a profit of $26.6 million in the first nine months of its fiscal year, down 6.6 percent from a year earlier.

Alafco said nine month earnings per share fell to 10.45 fils, from 11.19 fils a year earlier. There are 1,000 fils to the dinar.

The company's fiscal year starts in October.

Chairman Ahmad Alzabin said in a statement that last year's higher nine month results were boosted by the sale of assets.

He said outlook for the current fiscal year that ends on September 30 was better than last year's, without elaborating.

The company leases Airbus and Boeing aircraft to airlines in Europe, Asia, Africa and the Middle East.

The company secured $350 million in financing from banks and other financing institutions in the nine month period, he said.

Alafco is targeting a fleet of 59 owned and managed aircraft by the end of the current year, Alzabin said, without giving a comparative figure. (Reuters)

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