Finance House profit rises 26%

Dubai: Finance House has reported strong results for 2007 with a surge in net profit which, at Dh202.8 million, exceeds 100 per cent of the capital of the company, according to a statement.

The board has recommended a dividend of 75 per cent.

The result constitutes a 26 per cent increase over the Dh160.6 million net profit of 2006. Total assets grew to Dh2.16 billion, an increase of 64 per cent over the previous year figure of Dh1.31 billion.

As at December 31, 2007, shareholders' equity grew to Dh949.5 million, an increase of Dh225 million over the previous year, and this is after an Dh100 million dividend payment in 2007. "This strength of the company's capital base gives us a strong platform for future growth. We did not have any exposure to the sub-prime crisis, and this is due to our conservative approach to risk," said Mohammad Abdullah Al Qubaisi, chairman of Finance House.

Finance House's loan portfolios grew by 103 per cent during the year.