Dubai Financial Market Company posts 133% rise in net profit for nine-month period

Dubai Financial Market Company has registered an increase of 133 per cent in net profit for the first nine months of the year, amounting to Dhs89m, compared to Dhhs38.1m in the same period of 2021.

The company’s total revenue reached Dhs237.8m during the first nine months of 2022, compared to Dhs183.1m during the corresponding period of the previous year.

DFM – Press release regarding financial results for the 3rd QTR of 2022 https://t.co/1bTwrRFdHt

— Dubai Financial Market (@DFMalerts) October 27, 2022

The revenue consists of Dhs173.3m of operating income and Dhs64.5m of investment returns and other income. However, the company’s expenses increased by 2.6 per cent to reach Dhs148.8m by the end of September 2022, compared to Dhs145m recorded during an year-earlier period.

“We have posted a strong set of results in the third quarter. Increasing investor interest and activity is testament to the dynamism and growth of Dubai’s capital markets,” said Helal Al Marri, chairman of the DFM Company.

Total market capitalisation of listed securities increased 40 per cent to Dhs575.5bn, compared to Dhs411bn at the end of 2021, as a result of organic and non-organic growth driven by IPOs as well as the improvement in listed securities’ performance, the company said in a statement. The DFM General Index advanced 4.5 per cent this year.

During Q1-Q3, the total trade value soared 79.5 per cent to total Dhs69.5bn compared to Dhs38.7bn during the same period of 2021.

Foreign investors accounted for 47.3 per cent of trading value at the end of September, with net purchases of Dhs3.2bn, posting a a 146 per cent increase compared to the corresponding period. Institutional investors made up 46.7 per cent of the total trade value with a net purchase of Dhs1.3bn.

“As DFM’s successful digital transformation strategy comes into fruition, the number of new investors who joined the market during the first nine months has increased 41 times to 155,060 investors compared to 3,799 investors during the corresponding period in 2021,” added Helal Al Marri.

The DFM investor base has crossed the one million mark to reach 1,004,486. Foreigners accounted for 71.8 per cent of the new investors, meanwhile 647 new institutional investors have also joined the market.