Dubai's DFM posts net profit of $10.35mln during the first half of 2021

Dubai Financial Market’s total consolidated revenue reached $37.22mln in H1-2021 compared to $49.34mln during H1-2020

  
A woman walks through the Dubai Financial Market after Joe Biden won the U.S. presidency, in Dubai, United Arab Emirates November 8, 2020. Image used for illustrative purpose

A woman walks through the Dubai Financial Market after Joe Biden won the U.S. presidency, in Dubai, United Arab Emirates November 8, 2020. Image used for illustrative purpose

REUTERS/Christopher Pike

DUBAI - Dubai Financial Market (PJSC) today announced its consolidated financial results for the first half of the year ending 30 June 2021, registering a net profit of AED 38.8 million compared to AED 78.9 million during the corresponding period of 2020. The net profit of the second quarter of 2021 reached AED 15.3 million compared to Q2- 2020’s level of AED 44.2 million.

The Company’s total consolidated revenue reached AED 136.6 million in H1-2021 compared to AED 181.1 million during H1-2020. The revenue comprised of AED 87.9 million of operating income and AED 48.7 million of investment income & others.

The Company’s expenses reached AED 97.8 million compared to AED 102.2 million recorded during H1-2020. During the second quarter of 2021, the Company’s revenue reached AED 63.2 million compared to AED 92.9 million in the second quarter of 2020, while expenses amounted at AED 47.9 million compared to AED 48.7 million during Q2-2020.

Commenting on the key developments of the first half of 2021, Essa Kazim, Chairman of the Dubai Financial Market Company (PJSC), said: "The DFM performance indicators have upheld their 2020 positive trajectory to a great extent, resounding the sound economic performance of Dubai and the UAE. Within this context, the DFM has maintained its attractiveness to retail and institutional investors alike. For instance, 1842 new investors joined the market, including 315 institutions, bringing total number of its investor base to 847,939 investors from 207 countries at the end of June 2021. Foreign investors accounted for 69 percent of the new investors (1270 investors)."

"The Market Capitalization of listed securities saw a 14 percent increase to AED 388 billion while the General Index advanced 13 percent, in spite of the 8.4 percent decline in total trading value to AED 28.5 billion compared to its level in the corresponding period of 2020," Essa Kazim added.

"Foreign investors continued their noticeable presence with a market share of 48.2 percent of trading activity during the first half, equivalent to AED 13.7 billion and an ownership of 18.5 percent of the market capitalization at the end of June 2021. These indicators underline investors’ deep confidence on the market, which we have clearly observed during the recent round of the International Investor Roadshow 2021 last May," Kazim added.

Kazim went as saying: "We are striding to strengthen DFM’s position as a main gateway to a wide range of investment opportunities. In fact, the DFM is currently amongst the leading regional markets in terms of financial products’ diversification as it provides equities, equity futures, bonds & Sukuk, REITs, ETFs, etc. We are vigorously expanding products offering in order to provide investors with alternative investments, enabling them to flexibly manage their portfolios."

"Accordingly, the DFM has accelerated its efforts during the first half of 2021 to implement diversification strategy for investment opportunities offered to its growing investor base through the listing of the first REIT fund as well as a the second of its kind ETF on the market. Meanwhile, the DFM has expanded its equity futures’ opportunities by launching new contracts on individual stocks of three listed companies namely; Aramex, Air Arabia and Emirates Integrated Telecommunications Company (du) last April, bringing total number of companies that the market offers equity futures contracts on their stocks to eight companies," Kazim concluded.

© Copyright Emirates News Agency (WAM) 2021.


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