Abu Dhabi’s International Holding Company more than doubled its net profit in the first quarter of 2022 as revenue surged on the back of new acquisitions and strong performance of its subsidiaries.
Net profit for the three-month period to the end of March climbed to Dh3.55 billion ($966 million), the company said in a statement on Wednesday to the Abu Dhabi Securities Exchange, where its shares are traded.
Revenue during the period rose more than fourfold to Dh10.5bn.
IHC expanded its portfolio to 323 subsidiaries by the end of March, an increase of 196 per cent compared with 109 per cent in the first quarter of 2021.
The company's shares closed 2.56 per cent higher on Wednesday at Dh244.10, giving it a market value of about Dh444.6bn.
“The performance of this first quarter reflects the resilience of our multi-business portfolio, in spite of continued volatility in the global marketplace," said Syed Basar Shueb, chief executive and managing director of IHC.
"No one's immune, but we have fortified our business and built it in such a way that we ensure it keeps growing throughout unprecedented economic times and we remain squarely focused on accelerating growth by strengthening our core business and expanding our presence in high-growth channels.”
ADX-listed IHC is majority-owned by Abu Dhabi's PAL group of companies. The conglomerate, which now comprises more than 30 entities and 22,345 employees, seeks to expand and diversify its holdings across a growing number of sectors, including real estate, agriculture, health care, food and beverage, utilities, retail and leisure, among others.
It is also included in the FTSE ADX 15 Index, which represents the top 15 largest and most liquid companies on the ADX.
IHC made a number of new investments last year, including acquiring a controlling stake in Abu Dhabi-based investment company Al Qudra Holding and a 60 per cent stake in Afkar Financial and Property Investments.
In April, the company said it was investing Dh7.3bn in the Indian business conglomerate Adani Group, which is led by billionaire industrialist Gautam Adani.
As part of the deal, IHC will invest in three green-focused companies of the Adani Group ― Adani Green Energy, Adani Transmission and Adani Enterprises.
IHC's eight listed companies, which include Alpha Dhabi, Multiply Group, Ghitha Holding and Q Holding, among others, "show consistently strong returns for shareholders", the statement said.
This has resulted in a 20 per cent gain of earnings per IHC share to 0.88 fils in the first quarter compared with 0.73 fils in the first quarter of 2021, it said.