Shuaa Capital, a Dubai-based financial services provider, has posted a net profit of Dh26.2 million ($7.13 million) during the third quarter of the year as against Dh3.6 million ($978 million) during the same period of 2013, marking a six-fold increase.

Revenues were up 31.1 per cent to Dh71.8 million ($19.5 million) as compared to Dh54.8 million ($14.9 million) reported in Q3 2013.

Net fees and commissions were Dh19.4 million ($5.2 million), up Dh7.5 million ($2 million) on the Dh11.9 million ($3.2 million) reported in Q3 2013. Investments in Shuaa managed funds reported a profit of Dh20.3 million ($5.5 million), a year-on-year increase of Dh8.2 million ($2.2 million). Total expenses were reduced by Dh4.9 million ($1.3 million) to Dh45.9 million ($12.5 million) in the third quarter, as the business continues to manage costs while growing revenue.

For the nine month period, revenues were Dh188.0 million ($51.1 million), a 40 per cent increase from Dh134.3 million ($36.5 million) during the same period last year.  Net profit attributable to shareholders was Dh40.7 million ($11 million), compared to a loss of Dh0.96 million ($261,000) during the same period last year.

As of September 30, Shuaa had cash and deposits with banks of Dh221.8 million ($60.3 million), a 17.1 per cent increase from year-end 2013. Total assets were Dh1.499 billion ($408 million), up fractionally from Dh1.489 billion in Dec 2013. Total liabilities were Dh338.2 million ($92 million), down 10 per cent compared to year-end 2013.

Sheikh Maktoum Hasher Al Maktoum, executive chairman of Shuaa Capital, said: “These results represent the strongest performance of the company since 2009, both on a quarterly and nine month period basis.”

“We have seen substantial gains across the business year on year and all divisions are performing well, benefitting from growing client activity.  Fees and commissions, which represent higher quality earnings, have grown substantially thanks to the performance of both Asset Management and Investment Banking,” he added. – TradeArabia News Service