DFM posts 63% increase in its net profits in H1 of 2022

The Dubai Financial Market (DFM) on Friday announced its consolidated financial results for the first half of the year ended 30 June 2022, posting a 63% increase in its net profit to $17.26 million compared with $10.58 million during the corresponding period of 2021.

The net profit of the second quarter of 2022 increased by 134% to $9.77 million compared to Q2- 2021’s level of $4.17 million.

The Company’s total consolidated revenue reached $44.6 million in H1 of 2022 compared with $37.19 million during H1 of 2021. The revenue comprised of $33.05 million of operating income and $11.54 million of investment income and others.

The company’s expenses amounted to $27.33 million compared with $26.63 million recorded during H1 of 2021. During the second quarter of 2022, the company’s revenue reached $23.20 million compared with $17.21 million in the second quarter of 2021, while expenses amounted at $13.42 million compared with $13.04 million during Q2 of 2021.

Positive Performance

In his comments, DFM Chairman Helal Al Marri said that the DFM has witnessed a positive performance driven by the increasing interest from various market participants and the deep confidence in its prospects in light of the accelerating steps to implement Dubai’s financial markets development strategy. During the first half of 2022, the DFM welcomed the listing of (DEWA), the largest initial public offering in the UAE financial markets’ history.

“Additionally, our product diversification strategy gained further momentum by launching trading of Oman Crude Oil Futures as well as new equity futures contracts. The first half also witnessed the accomplishment of key initiatives to develop the regulatory framework through the introduction of the listing and trading rules of cooperatives and special purpose acquisition companies (SPAC), which strengthens DFM ability to attract more listings and diversify investment opportunities,” he noted.

The total trading value increased by 75% during the first half of 2022 to $13.45 billion from $7.68 billion during the same period in 2021, while the total market capitalisation of listed securities increased 28.2% to $143.48 billion compared to end of 2021 level of $111.90 billion.

The DFM maintained its attractiveness to international investors, who accounted for 47% of its trading value during the first half with net purchases of $710 million and their ownership reached to 19.8% of the total market capitalisation by the end of June 2022.

Institutional Investors

The institutional investors accounted for 53.6% of the trading value, which reflects local and international investors’ confidence in the market.

DFM has attracted 70,432 new investors during the first half of this year compared to 1,842 investors, up 38 times compared to its level at the end of the corresponding period of last year, bringing total number of investors to 921,550 from 212 countries by June-end.

International investors accounted for 72% of the new investors. Additionally, the DFM has on boarded 426 new institutional investors during the first half, including 303 foreign institutions.