DUBAI, Dubai Financial Market Company today announced its results for the financial year ending 31st December 2018, posting a net profit of AED125.5 million, compared to AED232.9 million in 2017, a 46 percent decline. Total revenues reached to AED324.7 million in 2018 compared to AED421.6 million in 2017. The total revenue comprised of AED194.7 million of operational revenues and AED130 million of investment revenues and others.
Company expenses reached AED199.2 million during 2018 compared to AED188.7 million in 2017.
Total revenue of the Company during the fourth quarter of 2018 decreased 33 percent to AED72.8 million compared to AED108.30 million during the corresponding period of 2017. The net profit of the period decreased 63 percent to AED21.8 million compared to AED59.5 million in the last quarter of 2017.
During its meeting on Wednesday, the Board of Directors reviewed and approved the annual results ahead of that will be submitted for ratification during the Annual General Meeting of the Company that will be held in coordination with the Securities and Commodities Authority (SCA).
Commenting on the key developments and achievements of 2018, Essa Kazim, Chairman of the Company said, "The year 2018 has witnessed a remarkable acceleration in our efforts to implement of DFM's strategy 2021, which focuses on enhancing competitiveness, diversification of product offering, investment opportunities, continuous development and innovation of market services. We believe that achievements to date and future developments planned within our strategic framework will play a pivotal role in the coming years to further enhance market competitiveness and prepare it in the best possible way to stimulate and sustain growth."
"The DFM has implemented numerous development plans during 2018; our plan to reorganize post-trade services in line with international best practices has made great strides. The plan aims at enhancing corporate excellence, improving performance, anticipating challenges and ensuring full readiness to realize our growth and development plans. The main objective is to separate trading activities from post-trading services, preparing the Company to meet the requirements for development and growth. The new initiative, which includes the launch of the two new companies for clearing and CSD in 2019, which will reinforce DFM's leading position amongst the regional capital markets," the Chairman added.
He went on to say that DFM continues to diversify its products and services, with a strategy to provide investors with new tools that will increase liquidity and propel market activity. "We have completed preparations for the launch of the REITs platform; an important addition to the market's financial instruments. During 2018, the DFM has issued standards for the listing and trading of Investment Funds as well as for REITs. DFM is keen to provide a framework that reinforces the development of the REITs sector, which has promising growth prospects considering the impressive presence and growing global reputation of Dubai's Real Estate sector," Kazim explained.
"As part of DFM's Smart Borse strategy in line with the leadership's vision on digital transformation, the DFM continued to provide innovative services and solutions to enhance market participants' experience. In 2018, the DFM launched an electronic Dividend Distribution System (DDS), a unique milestone that solidifies DFM's position amongst the most innovative markets. Accordingly, the market successfully distributed AED17.6 billion in cash dividends for the fiscal year 2017 to nearly 575 thousand investors on behalf of 46 listed companies compared to 35 companies in 2017," Kasim concluded.
Source: Emirates News Agency