Abu Dhabi: Waha Capital is looking to invest up to Dh4 billion in sectors with high growth potential such as energy, infrastructure, health care and education over the next five years, chairman of the company Hussain Jassim Al Nowais said on Sunday after the company posted a net profit of Dh182.2 million in the first quarter, an increase of more than 20 per cent corresponding to the same period last year.

“The financial results recorded during this quarter demonstrate Waha Capital’s stature as a successful investment company rooted in Abu Dhabi, with a strong portfolio of regional and global investments. We have demonstrated sustained profitability through the strong performance of our diversified portfolio of direct investments,” Al Nowais said in a press statement.

Waha Capital, which manages direct principal investments as well as global securities portfolios, benefited from an increase in earnings per share at AerCap Holdings following the New York-listed company’s acquisition of International Lease Finance Corporation (ILFC) in mid-2014.

UAE consumer finance company Dunia Finance also experienced strong growth, while other portfolio companies including Anglo Arabian Healthcare (AAH) and National Petroleum Services (NPS) also made significant progress on the business development front, the company said.

The Capital Markets division at Waha Capital, which is active in public credit and equity markets, expanded its business and produced healthy returns.

The company said shareholders approved a cash dividend distribution of Dh0.30 per share on eligible shares, which represents an increase of 140 per cent from the previous year.

Lagging behind

According to analysts, the results indicate a good growth and the turnaround story continues for the company.

“Unfortunately, it’s one of the companies, the market price does not reflect totally the full turnaround story that we saw,” Mohammad Ali Yasin, managing director of NBAD Securities told Gulf News.

“We continue to see the market price trading at discount or lagging behind the rest of the movement in the market. I think it is due to some investors probably believe that it’s a company that is benefiting only from the AerCap deal and not comprehending or understanding the full business model or revenue stream.”

He said the company has a lot of investment plans in areas like oil services, education and health but until these businesses contribute heavily to the balance sheet, investors may not go into the company’s shares in a big way.

The company’s assets now stand at Dh9.6 billion as of March 31, 2015, slightly lower than at the end of 2014 (Dh9.8 billion), mainly due to the reduction of the company’s cash balances and the revaluation adjustment in the AerCap Collar.