Amanat Holdings quarterly profit rises more than five-fold

Amanat will remain 'discipled' in choosing its investments, Faisal bin Juma Belhoul, the chairman of Amanat’s board, said. Lee Hoagland / The National

The Dubai-listed healthcare and education company Amanat Holdings reported a more than five-fold jump in first-quarter net profit, thanks to its Al Noor Hospitals Group share sale and its Islamic finance products.

Amanat’s net profit in the three months ending March 31 surged to Dh9.5 million from Dh1.5m during the same period last year, the company said on Sunday. Amanat listed on the Dubai Financial Market in November 2014.

First-quarter revenue reached Dh16.6m, more than double that of the corresponding figure from a year earlier. It included Dh15.5m from Mudarabah and Wakala deposits and a gain of Dh1.1m from the sale of its remaining 3 per cent stake in Al Noor Hospitals Group. Amanat’s operating expenses was Dh9.4m during the period.

Abu Dhabi’s Al Noor Hospitals was acquired by the South African hospital chain Mediclinic in the first quarter.

Amanat shares closed up 0.12 per cent to 83 fils on Sunday. The price is down from 87 fils a year ago.

Amanat’s share of profit from its investment in the Saudi healthcare company Sukoon International Holding was Dh2.2m during the first quarter. Amanat invested a further 16.6m riyals (Dh16.2m) in Sukoon during the quarter, with its stake reaching 33.25 per cent. Its current investment in Sukoon stands at 195.8m riyals. Amanat invested 179.2m riyals for a 35 per cent stake in Sukoon last August.

The reduction in Amanat’s stake from 35 per cent to 33.25 per cent was owing to Sukoon’s 52.6m riyals capital increase, diluting Amanat’s holding.

“Amanat will continue to be disciplined in sourcing desirable opportunities in the healthcare and education sectors where there is significant potential for long-term growth,” said Faisal bin Juma Belhoul, the chairman of Amanat’s board.

The UAE healthcare sector has been growing as demand rises. For the 11 months ended February 29 2016, Mediclinic’s Middle East business – excluding Al Noor – recorded revenues of Dh1.39 billion. For the financial year ended in March last year, Mediclinic’s revenues from the UAE touched 4.3bn South African rand.

London-listed and Abu Dhabi-based NMC Health reported a 10.6 per cent jump in net profit to US$85.8m last year from a year earlier. Revenues touched $880.9m, a 36.8 per cent rise over 2014.

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