DUBAI: Abu Dhabi-based investment company Waha Capital made a net profit in 2013 of AED306.4 million ($83.42 million), up AED214.4 million in 2012, marking a year-on-year increase of 43percent and the company’s highest results since its establishment.
The growth in net profit was driven by increased returns from Waha Capital’s key direct investments, including New York-listed aircraft leasing company AerCap Holdings and UAE consumer finance company Dunia Finance, as well as the strong performance of the company’s capital markets division, it explained in a statement emailed to Arab News.
The value of Waha Capital’s assets increased 18 percent as of 31 December, 2013 to reach AED5.24 billion, up from AED4.44 billion a year earlier.
The preliminary results were announced following a board meeting in Abu Dhabi chaired by Hussain Jasim Al-Nowais, chairman of Waha Capital.
“Waha Capital has achieved strong financial results in 2013 with record net income, thanks to the implementation of the sound investment strategy the company adopted a few years ago,” said Al-Nowais.
“We view this accomplishment as a small step towards achieving greater profits and continuing to increase long-term shareholder value through investment in high potential sectors. Our strong track record helps position Waha Capital as the investment partner of choice in the region,” he added.
Waha Capital’s results translate into earnings per share of AED0.16 in 2013, compared to AED0.11 a year earlier, with return on equity rising to 12.6 percent from 9.4 percent. Shareholder equity increased by 8.4 percent in 2013 to reach AED2.53 billion up from AED2.33 billion in 2012.
“We are well positioned to make further investment in attractive sectors across the region and to continue delivering solid returns for our shareholders and investment partners,” said Salem Rashid Al-Noaimi, CEO and managing director of Waha Capital.
“Our strategy is to acquire majority stakes in companies where value can be added through our principal investments division, while increasing exposure to debt and equity markets through our capital markets unit in order to enhance liquidity in our diversified portfolio,” he added.
In mid-2013, Waha Capital made its first investment in the healthcare sector by acquiring Anglo Arabian Healthcare (AAH), a healthcare group established to own and operate hospitals, clinics, pharmacies and diagnostic centers across the United Arab Emirates. This investment broadens Waha Capital's asset mix, marking its entry into an area that holds high growth potential and is a priority for the UAE.
Dubai-based developer Deyaar Development, meanwhile, posted significant growth in net profits of up to 300 per cent, for the year ending 31 December 2013.
The company achieved a consolidated net profit of AED154.5 million during the year, up from AED38.6 million registered in 2012.
In addition, the company has increased its gross profit for 2013 to AED307.5 million, from AED199 million in 2012.
“We approached 2013 on a confident note, setting out to achieve several milestones,” said Saeed Al-Qatami, CEO, Deyaar Development.
"Over the year, we were successful in completing many projects, in addition to meeting targets for ongoing projects that are at various stages of development. Our goal is to continue our growth path through sustainable operations that bring in new and exciting possibilities in the coming years, and deliver promising results ," said the CEO.
