Abu Dhabi-listed Waha Capital's fourth quarter profit jumps 67%

The company’s net profit attributable to shareholders jumped to $42.7m in the October to December period

An investor monitors a screen displaying stock information at the Abu Dhabi Securities Exchange June 25, 2014. The spectacular rise and fall of Arabtec, Dubai's most heavily traded stock, teaches hard lessons about how risky the region remains for investors even as its rapid economic growth lures billions of dollars in fresh funds from abroad. Wild trading by local retail investors who dominate activity, plus weak corporate disclosure and a hands-off approach by regulators, can make a toxic mix, and on occasion destabilise entire markets.  REUTERS/Stringer  (UNITED ARAB EMIRATES - Tags: BUSINESS) - GM1EA6P1SB001
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Waha Capital, which counts Mubadala Investment Company among its shareholders, reported a 67 per cent surge in fourth quarter net profit driven by growth in its public markets and private investments businesses.

The company’s net profit attributable to shareholders jumped to Dh157 million ($42.7 million) in the October to December period, the company said on Friday in a statement to the Abu Dhabi Securities Exchange, where its shares are traded.

Its total income jumped 26 per cent year-on-year to Dh280 million during the quarter.

“Despite the challenging market conditions, Waha Capital made excellent progress towards its long-term objectives in 2022, and the core businesses are now well-positioned for future success,” Waleed Al Muhairi, chairman of Waha Capital, said.

Waha Capital’s total assets under management reached Dh6.54 billion by the end of 2022. Photo: Waha Capital

“In 2023, Waha Capital will continue to operate pragmatically, leveraging its knowledge and network to deliver the growth and attractive returns that shareholders and investors have come to expect,” Mr Al Muhairi said.

The company’s 2022 full fiscal year net income attributable to shareholders dropped 12 per cent annually to Dh344 million, while its revenue dipped 21 per cent to Dh720 million.

“The public markets business has maintained the exceptional track record of its flagship funds, while the private investments business successfully monetised mature assets and developed its pipeline of high-growth opportunities in favourable sectors,” Mr Al Muhairi said.

Waha Land, a wholly-owned subsidiary of Waha Capita that owns and operates light industrial real estate assets, recorded net profit of Dh35 million last year.

In August last year, Waha Land agreed to sell 17 leased warehouse buildings at the Almarkaz Industrial Development in Abu Dhabi to Peninsula Real Estate Management Limited for Dh555 million. The all-cash transaction is expected to close in 2023.

“Despite the global inflationary environment, the company managed costs effectively in 2022 and will continue to reduce its leverage to mitigate a higher rate environment,” Ahmed Khalifa Al Mansoori, the company’s chief operating officer, said.

Waha Capital’s total assets under management reached Dh6.54 billion as of December 31, a yearly jump of 12 per cent.

Updated: February 10, 2023, 6:53 PM