Monday 30 November 2020

Chairman Essa Kazim outlines robust performance for 2016

DIFC Investments net profit up 4pc in 2016

DUBAI, May 1, 2017

Dubai's DIFC Investments has posted gross operational profit of $ 149 million during 2016, an increase of 4 per cent compared to the previous year.

The number of active registered companies in DIFC rose to 1,648 in 2016, an increase of 13 per cent, said Essa Kazim, chairman of LLC (DIFCI) and Governor of Dubai International Financial Centre (DIFC), the leading financial hub in the Middle East, Africa and South Asia.

 Cash and cash equivalents increased to $345 million, an 11 per cent increase on 2015 and total assets increased to $3.084 billion, a 2 per cent increase on 2015. Fair market value of investment properties rose to $2.554 billion compared to the 2015 figure of $2.499 billion while rental income increased 5 per cent in 2016, to $147 million.

Kazim said: “I am pleased to report that our 2016 performance was robust. We continue to deliver stable revenue and growth thanks to our resilient business model and steady rental cash flows in a challenging macro-economic climate. DIFCI continued to create value and achieve profitable growth, delivering a solid operational and financial performance.”

DIFCI’s robust performance was a contributor to DIFC’s broader 2016 success. DIFC experienced a strong 12 months, with the number of active registered entities increasing to 1,648 entities and 21,611 professionals working in the Centre. This represents growth of 13 per cent and 9 per cent respectively from the prior year.

Occupancy rate was at 98 per cent in 2016. Construction is progressing well on Gate Avenue at DIFC, which will increase the Centre’s portfolio of lifestyle, cultural and entertainment offerings.

Another development under construction, The Exchange, will offer further opportunity for new firms and growth in the Gate Village. There is already high demand for leases on the 147,000 sq ft, Dh180 million ($49 million) development.

Kazim said: “We continue to focus on building a platform for long-term growth. Strategic investments, such as Gate Avenue at DIFC and The Exchange, which will enhance our urban lifestyle and community offering. Continuous investments such as this will reinforce our strong position in the region and support Dubai’s vision of being a leading global financial centre.”

DIFCI also repurchased 290,000 units of Sukuk certificates which were issued in 2014 and recognized a gain on repurchase of $2.10 million. Kazim said: “Our Sukuk continues to fund our expansion projects to help us generate sustainable future revenue streams and long-term growth.”

He added: “I would like to express appreciation to our stakeholders whose continued support helps us achieve and surpass our targets as laid out in the DIFC 2024 Growth Strategy.” – TradeArabia News Service

Tags: DIFC Investments | Kazim | 2016 profit |

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