Boursa Kuwait Securities Company has reported a net profit of KD5.99 million ($19.4 million) for the first quarter of 2026 with its total assets hitting KD145.24 million ($471 million), thus underscoring its resilience despite regional geopolitical tensions and economic uncertainty.

Announcing the results for the three-month period ended March 31, 2026, Boursa Kuwait said its total operating revenues stood at KD10.15 million, while its operating profit hit KD7.31 million and earnings per share at 29.82 fils for the period.

The shareholders’ equity attributable to the parent company was seen at KD85.26 million.

Speaking at the board meeting, Chairman Bader Nasser Al Kharafi said these results underscored the company’s resilience despite regional geopolitical tensions and economic uncertainty.

"This is a direct affirmation of the resilience of the company's business model, its ability to generate sustainable revenues and the efficiency of its cost management," stated Al Kharafi.

The Kuwaiti capital market continued to benefit from ongoing structural reforms and institutional infrastructure development, which have enhanced its efficiency and resilience, enabling it to reach advanced levels of institutional stability and operational depth, supporting its ability to respond effectively to regional and international developments, he noted.

"This performance reflects Boursa Kuwait's resilience and its ability to sustain its strategic momentum, particularly amid the geopolitical challenges of March, with the market recording one of the most stable performance levels among GCC markets," said Al Kharafi.

"This is the outcome of a long-term development strategy focused on advancing market infrastructure, strengthening regulatory frameworks and embedding a governance framework aligned with international best practices," he added.

The market demonstrated a clear ability to adapt to the escalation of geopolitical tensions in early March and the resulting rise in uncertainty, which brought pressure on energy supplies, costs and global trade routes.

The Boursa Kuwait Chairman stated that the All-Share Index recorded a limited decline of 1.82% during March, the lowest monthly decline among GCC markets, reflecting the Kuwaiti market's ability to absorb geopolitical shocks in the region and maintain its balance, supported by a more diverse and deeper investor base.

Enhancing market structure to attract investments

"Boursa Kuwait continued to work in close co-ordination with the Capital Markets Authority to ensure full compliance with regulatory directives and to enhance market stability and efficiency, reinforcing confidence and mitigating risks in line with its rigorous institutional commitment to the highest standards of governance, risk management and business continuity," stated Al Kharafi.

He noted that market structure indicators continue to improve, with the share of trading by international investors, including GCC nationals, rising by 8.92% in the first quarter to 21.60% of total trading, compared to 78.40% for local investors.

Meanwhile, the turnover percentage of institutional investors increased by 7.20% to reach 73.28% of total market trading, while retail investors’ trading accounted for 26.72%, reflecting a qualitative shift in market composition that enhances pricing efficiency and reduces volatility.

The Kuwaiti capital market’s performance during the first quarter demonstrated stable trading activity, supported by operational and structural developments that have enhanced overall market efficiency. 

This stability was underpinned by the continued implementation of infrastructure initiatives, contributing to a more efficient and transparent trading environment.

Boursa Kuwait CEO Mohammed Saud Al Osaimi said: "Trading activity was stable during the first quarter of 2026, with total traded value reaching KD3.72 billion and an average daily trading value of KD66.44 million. Foreign trade confirmations increased by 30.38% year-on-year, driven by ongoing infrastructure enhancements that have improved market efficiency and strengthened the reliability of settlement processes for all participants."

Product development and deepening the market

Al Kharafi also addressed the market development strategy, noting that the launch of the bonds and sukuk trading platform in early April marks a significant new phase in the evolution of the Kuwaiti capital market’s infrastructure. “This transition positions Boursa Kuwait beyond an equity-focused exchange toward a multi-asset market, expanding investment options for a broader range of investors and opening new avenues of financing for companies and financial institutions,” he said.

The Chairman emphasized that this initiative stems from a clear strategy that places asset class diversification at the core of building a mature capital market comparable to its emerging international peers. He added that Boursa Kuwait is confidently advancing toward the launch of exchange-traded funds (ETFs), noting that all technical and operational testing has been completed and that regulatory approval is pending. “This product will provide investors with a flexible tool to diversify their portfolios and help attract a wider investor base.”

Al Kharafi revealed that Boursa Kuwait is progressing with the upgrade of its trading systems, one of its most significant ongoing infrastructure development projects. The initiative will be implemented in successive phases, with the new system providing the technical foundation to support the launch of derivatives in the next stage of market development, which will enhance the market’s competitiveness and further align it with its peers across the globe.

The top official said Boursa Kuwait continues to execute its strategy with confidence, focusing on maximising long-term shareholder value, enhancing market competitiveness, expanding the investor base and developing its suite of products and services.

"The company is well-positioned to capitalize on future opportunities, further strengthening Kuwait’s standing as a regional financial center in line with the objectives of Kuwait Vision 2035," he added.-TradeArabia News Service