Dubai Investments PJSC (“DI”), the largest investment company listed on the Dubai Financial Market, today announced its financial results for the nine month period ended 30th September 2009 (“the Period”).
DI reported consolidated total income of AED 2.7 billion for the Period, with profit of AED 822 million. Total Assets as at 30th September 2009 increased to AED 15 billion, while Net Worth increased to AED 7.8 billion. The annualized return on Share Capital achieved for the Period is 31%.
“These results were driven largely by a sharp focus on cost efficiency and a re-orientation of strategies aimed at facilitating long-term growth,” said Khalid Kalban, Managing Director and CEO of Dubai Investments PJSC.
“DI’s strength lies in its diversified structure with subsidiaries operating in the Manufacturing, Contracting, FMCG and Property segments. DI also manages an investment portfolio comprising of equity securities focused on regional markets and investments in funds, structured products, bonds etc. This allows us to realize synergies and successfully negotiate changing macro-economic environment as well as industry-specific challenges,” Kalban added. “Furthermore, DI’s investment portfolio is spread across different geographical locations, which helps to mitigate risk levels. This structure is primarily responsible for DI achieving consistent profits each quarter, even under challenging market conditions.”
The Period was marked by several achievements for DI, with many key projects completed and new strategic initiatives gaining traction.
Construction of Phase 1 of Ritaj, the maiden residential project of DI’s real estate arm Dubai Investments Real Estate Company, was completed during the Period and the project is now ready for handover to customers. Phase 2 of the project is planned to be handed over in March 2010.
As part of the continuous expansion of Dubai Investments Park, the largest integrated business and residential community in the Middle East, the development of areas 1 to 6 of Phase VI was completed during the Period, while work on area 7 of Phase VI and the entire phase VII is currently in progress.
One of the key highlights during the Period was the commencement of commercial operations of Emirates Float Glass LLC (EFG), a state-of–the-art float glass manufacturing facility set up with technological assistance from US-based PPG Industries. Located in Abu Dhabi, EFG is currently working at full capacity, producing 600 tons/day of world-class clear float glass.
With the UAE Government moving to increase infrastructure expenditure under the draft UAE Federal Budget, construction activities are expected to increase considerably in the years to come, benefiting companies operating in the real estate, construction and contracting sectors. Dubai Investments is looking to capitalize on new opportunities arising as a result of this timely stimulus measure taken by the Government.
Sounding upbeat about the company’s growth prospects, Kalban said, “DI’s focus for the near future will remain on identifying new geographical markets and business segments which will enable us to increase our revenue streams and deliver beyond expectations.”
© 2009 Mena Report (www.menareport.com)
