Dubai: Dubai Financial Market Company (DFM) said on Sunday its first quarter net profit rose more than 27 per cent on higher revenues.
DFM’s quarter to March net profit rose to Dh86 million from Dh67.7 million the same quarter of 2015, while total revenue rose 11 per cent to Dh127 million from Dh114.5 million.
The revenues comprise of Dh105.6 million of operating income and Dh21.4 million of investment returns. DFM’s trading value has increased 7.56 per cent during the first quarter of 2016 to Dh40.58 billion compared to Dh37.7 billion during the corresponding period of last year. Trading commission is the main revenue stream for the bourse.
Meanwhile, operating expenses reached to Dh46.2 million during the first quarter of 2016 compared to Dh46.8 million during the same period of 2015.
Lower oil prices
“The performance represents a positive development taking into consideration the fluctuations of regional and international markets due to the repercussions of lower oil prices,” Eisa Kazim, Chairman of Dubai Financial Market (PJSC) said in a statement.
“From our point of view, the market has handled such unfavourable circumstances with a high level of resiliency and successfully managed to maintain a good level of activity supported by investors’ confidence in the lucrative investment opportunities DFM provides. Undoubtedly, this performance underlines investors’ strong recognition of the strong fundamentals of the national economy, which maintains its high levels of sustainable growth, as well as the healthy performance of the listed companies. Such strong fundamentals limit the implications of global circumstances and contain it within short periods,” Kazim said.
The General Index soared by 6.5 per cent, one of the best performing indices among main stock markets across the world, on the back of a 60 per cent recovery in oil prices.
