The Jan-Sept Net Profit For Dubai Financial Market Company Increased By 133%

The Public Corporation Dubai Financial Market (DFM) has announced their financial results for the Jan-Sept period registering an impressive increase of 133 percent in net profits (AED 38.1 million to AED 89 million) compared to the previous period in 2021. 

“We have posted a robust set of results in the third quarter. Increasing investor interest and activity is a testament to the dynamism and growth of Dubai’s capital markets. This is illustrated by DFM being one of the most active listing venues globally right now” said H.E Helal Al Marri, Director General of Dubai’s Department of Economy and Tourism.

Dubai Financial Market Company’s Jan-Sept Net Profit Rise133%

Dubai Financial Market has expanded their investor base over the one million mark after showing a 9 percent increase to reach 1,004,486. Over 71 percent of their total investors are foreign investors and the company welcomed 647 new institutional investors who have joined the market. The institutional investors accounted for 46.7 percent of the total trade value which brought the net purchase to a total of AED 1.3 billion.

When compared to the previous financial period’s new investors of 3799, the current period showed a 41 times increase to 155,060 investors. 

H.E Helal Al Marri said that their successful digital transformation strategies have helped catch the attention of more investors during the period. Investors are rushing into the market to participate in novel IPOs from leading enterprises which helped add volume and diversity to DFM, said the new Chairman. 

DFM’s total has reached AED 237.8 million during the period Jan-Sept of 2022 which marks a 29.8 percent increase from the previous year’s 183.1 million during the same period. 

According to the financial statements, DFM revenue comprises AED 173.3 million of operating income and AED 64.5 million of investment returns and other income. 

The expenses of the company showed a 2.6 percent increase to AED 148.8 million by the 30th of September 2022, compared to the AED 145 million of the previous period. Their expenses seemed to have remained minimally affected despite the significant increase in the operating revenue as the operating expenses only increased by 0.4 percent. It shows the successful implementation of the operational efficiencies and cost optimization initiatives of the firm. 

The total market capitalization of securities listed in DFM showed a 40% increase to AED 575.5 billion when compared with the AED 411 billion at the end of the previous year. The commendable accomplishment is a result of organic and non-organic growth spurred by the successful performance of the IPOs in the listed securities. 

Period Jan-Sept 2022, witnessed the total trade value of DFM jump from 38.7 billion to 69.5 billion registering a 79.5 percent increase, when compared to the same period in 2021. The foreign investors who participated contributed 47.3 percent of the trading value at the end of September with net purchases of AED 3.2 billion (146 percent increase compared to the previous period). DFM’s ownership reached crossed 19 percent of the total Market Capitalization and institutional investors accounted.