DI's H1 net profit up 2% to Dh516m

02/08/2016 05:37 AST

Dubai Investments (DI) declared a Dh516 million net profit attributable to shareholders in the first half of 2016, an increase of two per cent over the Dh506 million generated in the prior-year period.

The Dubai-listed company said its total income was Dh1.37 billion, which represents an 18 per cent increase compared to the Dh1.16 billion total income generated in the first half of 2015.

The positive result includes a 20 per cent growth in rental income to Dh424 million, an eight per cent increase in contract revenues to Dh236 million, a Dh186 million gain related to disposal of subsidiaries and valuation gains of Dh86 million on investment properties; while sale of goods declined marginally to Dh450 million. Mark-to-market investments offset the result by Dh27 million.

In the first six months of 2016, earnings per share increased to Dh0.13 from Dh0.12 last year. Total assets were Dh15.7 billion at June 30, 2016, up Dh446 million since the beginning of the year. This includes a cash balance of Dh1.1 billion, after the dividend payout of Dh486 million in May 2016. Total liabilities increased by Dh346 million since the beginning of the year to Dh4.4 billion as at June 30, 2016 mainly due to increase in stake of property investments.

Debt-to-equity ratio

Dubai Investments maintained a low debt-to-equity ratio of 25.9 per cent. The book value per share increased by 5.4 per cent to Dh2.64 as at June 30, 2016, compared to Dh2.5 at June 30, 2015.

Khalid bin Kalban, managing director and CEO of Dubai Investments, said: "Dubai Investments delivered a solid set of financial results, completed a number of important transactions, and is in a strong position to deploy capital into attractive investment opportunities to drive future growth. Building on the positive momentum generated in the first half of 2016 against the backdrop of a challenging market environment, the company plans to continue its diversification strategy, aimed at broadening its geographical footprint, growing its asset base to increase earnings and creating value for the shareholders."

Dubai Investments currently owns over 40 subsidiaries and joint ventures across a range of sectors and continues to monitor opportunities, both locally and internationally, as part of its strategic, financial and operational roadmap.

Khaleej Times