Dubai – Mubasher: Dubai Financial Market Company (DFM Company) on Monday reported a net profit of AED 139.6 million in the first half of the year, down 30% from AED 200 million during the corresponding period of 2015.
Net profit for Q2-16 dropped 60% to AED 53.5 million compared to AED 132.4 million, the company said in a statement.
It added that total revenue fell to AED 227 million in H1-16 from AED 292.6 million in the year-ago period. Revenue comprised of AED 184.8 million of operating income and AED 42.2 million of investment returns, while expenses reached AED 92.7 million compared to AED 92.5 million recorded during H1-15.
As for Q2-16, DFM Company’s revenue reached AED 100 million compared to AED 178.1 million in Q2-15, while expenses amounted to AED 46.5 million in Q2 this year, down from AED 45.7 million in the same period last year.
“It is noteworthy that the DFM trading value declined 32.7% to AED 69.5 billion during the first six months of this year compared to AED 103.4 billion in the corresponding period of last year. Trading commissions represent the main revenue stream of the DFM Company,” the statement revealed.
DFM Company chairman Essa Kazim commented that “the slowdown in trading activity during the first half of 2016 has overshadowed the revenue and profit of the DFM Company.”
He added that the market had “demonstrated a high level of resiliency considering the unfavourable circumstances of lower oil prices as well as international markets’ volatility. The DFM General Index has been one of the best performing amongst leading indices globally advancing more than 5% during the first half.”
Foreign investors, excluding Arabs and GCC nationals, have increased their participation on the market from 16% during H1-15 to 17% in the first six months of 2016. Foreigners were net buyers of AED 1.4 billion, a 53.6% increase, which clearly underlines their growing confidence in the market, the top executive stated.
