Dubai: The Dubai Financial Market Company (DFM) announced its consolidated financial results for the first half of 2010 Saturday, with a net profit of Dh79.5 million. This is a 57 per cent decline from the Dh186.7 million in the corresponding period of 2009, the company said.
Net profit for the second quarter stood at Dh25.9 million, with revenues at Dh69.7 million, which comprised Dh51.5 million of operating income and Dh18.2 million in return on investments. Operating expenses amounted to Dh24.8 million.
DFM's revenue and profit were affected by a 32 per cent decline in trading value during the second quarter of the year to Dh19 billion compared to Dh28 billion in the first quarter.
Development plans
Commenting on the results, Abdul Jalil Yousuf Darwish, Chairman of DFM, said: "Over the recent months, DFM Company has embarked upon executing a series of development and investment plans which directly benefit our investors, in addition to the announcement of fully acquiring Nasdaq Dubai, all of which will further support the Emirate of Dubai's drive to become the leading financial centre in the region. In this regard, the company successfully finalised the purchase of two-thirds of Nasdaq Dubai. Additionally, the company effectively implemented the many stages of the consolidation process between the two exchanges. Undeniably, the management's tireless and sincere effort over the last few months is an indication of a clear vision, full understanding of the challenges, and above all, it is based on an undisputed commitment to our investors as our paramount priority."
Eisa Kazim, Managing Director and CEO of Dubai Financial Market, said: "The company has achieved a number of key milestones to consolidate DFM and Nasdaq Dubai during the second quarter of 2010. This was crowned by the implementation of outsourcing Nasdaq Dubai's trading, clearing, settlement and custody functions to DFM on July 11. The operational and back office consolidation between the two exchanges will bring many benefits to our investors, who have already started to observe these benefits and will fully recognise the benefits in the medium term".
"Over the recent months, we heavily mobilised many resources to consolidate DFM with Nasdaq Dubai for the benefit of the investors and the DFM Company. The revenues and profits have been affected by the declined trading value in second quarter of 2010 compared to first quarter."
- Dh19b is trading value in the second quarter
- 32% decline in trading value
