DFM posts net profit of Dh78.9 million in H1 2020

The company recorded a total revenue of Dh181.1 million in H1 2020. - Supplied photo

Dubai Financial Market (PJSC)  announced its financial results for the first half of the year ending June 30, 2020, registering a 21 per cent increase in its net profit to Dh78.9 million compared to Dh65.1 million during the corresponding period of 2019.
The net profit in the second quarter of 2020 reached Dh44.2 million, a 20 per cent increase compared to Q2 2019's level of Dh37 million.
The company recorded a total revenue of Dh181.1 million in H1 2020 compared to Dh163.5 million during H1 2019. The revenue comprised of Dh115.3 million of operating income and Dh65.8 million of investment returns.
The company expenses reached Dh102.2 million compared to Dh98.4 million recorded during H1 2019. During the second quarter of 2020, the company's revenue reached Dh92.9 million compared to Dh85.6 million in the second quarter of 2019, while expenses amounted at Dh48.7 million compared to Dh48.6 million during Q2-2019.
"During the first six months of 2020, the DFM's trading value has exceeded Dh31 billion, a 25 per cent increase compared to the corresponding period of 2019. The second quarter performance clearly indicates the DFM's resiliency in containing international markets' volatility due to the repercussions of unprecedented circumstances triggered by the Covid-19 pandemic with the general index advancing 16per cent, restoring a considerable percentage of its previous decline," said Essa Kazim, chairman, Dubai Financial Market Company.
"Additionally, the DFM has attracted 1,718 new investors during the first half, lifting total number of DFM's investor base to 845,770 investors. The market also maintained its attractiveness to foreign investors with their market share reached to 49 per cent of trading activity during the first half and to 18.2 per cent of the market capitalisation at the end of June 2020. Undoubtedly, the UAE's pro-active approach dealing with the pandemic's repercussions has been pivotal in achieving these encouraging performance indicators with various economic sectors benefiting from the numerous stimulus packages rapidly launched by the UAE leadership."
"Moreover, the global developments associated with the pandemic didn't deter us from carry on with DFM's strategic development initiatives. We have launched Dubai Clear and Dubai CSD end of April 2020 as independent companies for post-trade services. Dubai Clear is the region's first independent company central counterparty (CCP) for equity clearing and Dubai CSD is the UAE's first independent central securities depository (CSD) company. This launch crowns DFM's extensive efforts throughout the past two years to enhance market structure and post trade services in line with international best practices, which further strengthen its leadership in driving capital markets development in the UAE and the region. It also represents a significant milestone in strengthening UAE markets' infrastructure and competitiveness as well as DFM's commitment to reinforcing its infrastructure and achieving highest levels of business excellence," Kazim added.
It is noteworthy that the DFM has accomplished the largest technology upgrade through its entire history by migrating to the Nasdaq Financial Framework (NFF) in March. This cutting-edge ecosystem developed by Nasdaq, the leading market technology provider globally, provides the DFM with world class infrastructure for trading, surveillance, clearing and market data dissemination.
- business@khaleejtimes.com
 

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