Dubai Investments gets big profit boost

01 March 2016

Dubai Investments PJSC, the diversified investment company listed on the Dubai Financial Market, has crossed the Dh1 billion ($270 million) mark in profit for 2015.

The company delivered a net profit Dh1.1 billion attributable to shareholders of the company, and earnings per share of Dh0.27. Excluding the previous year’s one-off profit of Dh472 million on the 66 per cent divestment of Globalpharma, this represents an increase of 27 per cent compared with the Dh871 million net profit achieved in 2014. Return generated on average equity was 10.3 per cent.

The net profit for Q4 2015 was Dh357 million, a year-on-year increase of 2.7 per cent compared with Dh348 million for Q4 2014. Total assets rose by Dh1 billion to Dh15.5 billion as at 31 December 2015, an increase of 7 per cent compared with Dh14.5 billion at the end of 2014.

Announcing the results, Khalid Bin Kalban, managing director and CEO of Dubai Investments, said: “We have once again delivered strong results against the backdrop of a challenging environment. This underpins the diverse nature and adaptability of our businesses which enable us to take advantage of varied opportunities that arise in the market from time to time.”

Kalban added: “As part of the group strategy, we have now ventured into the healthcare and education sectors as these are areas which we believe will benefit from significant growth in the future. We have also tapped into promising markets across the GCC and Africa to further strengthen our position as a regional powerhouse.”

During 2015, Dubai Investments acted upon its plans to enhance its geographical footprint in Saudi Arabia by entering into a joint venture to develop Riyadh Investment Park, a project targeted at meeting rising demand for warehousing and industrial real estate in the eastern part of Riyadh. Furthermore, it raised its stakes in Al Mal Capital and Emirates Float Glass, and made investments in King’s College Hospital Dubai and the Dubai campus of Modul University. The group also successfully divested its stakes in rubber companies held by its subsidiary Masharie, realising an impressive IRR of 18 per cent.

Looking ahead, Kalban said: “In 2016, Dubai Investments will continue to target new opportunities, with a focus on increasing its asset base, strengthening the bottom line and improving operational efficiency.”

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