Waha Capital reports net profit of Dh449 million for 2022

Despite challenging global macroeconomic and capital market conditions, Waha Capital delivered strong financial and operational performance. Full-year revenue stood at Dh720 million, while operating expenses were Dh174 million.

Waha Capital performed strongly in the fourth quarter, with net profit increasing 23 per cent year-on-year to Dh190 million due to robust returns from the company’s public equity and credit funds and gains derived from monetising mature assets.

Waha Capital’s total assets under management stood at Dh6.54 billion at the end of 31st December, 2022, an increase of 12 percent from the Dh5.84 billion recorded at the end of 2021.

In 2022, the company was recognised by Forbes Middle East as one of the region’s “Top 30 Asset Management Companies” for the second consecutive year, the Waha MENA Equity Fund was named “Best Emerging Markets Equity Fund” at the EuroHedge Awards, and the Waha Islamic Income Fund was awarded “Best Sukuk/Islamic Fund” at the MEA Finance Awards.

The Company’s board recommended a cash dividend of 8 fils per share. This recommendation remains subject to regulatory and shareholder approvals at the Company’s Annual General Meeting.

The Public Markets business recorded total revenue of Dh496 million and net profit of Dh425 million in 2022, with the company’s flagship funds continuing to outperform their respective benchmarks during a year characterised by heightened volatility in global markets.

The Private Investments business recorded net profit of Dh150 million in 2022 following a net loss of Dh98 million in 2021. All three portfolios under the Private Investments business were profitable and contributed to its strong performance in 2022.

Waha Land, a wholly-owned subsidiary that develops, owns, and operates light industrial real estate assets, recorded net profit of Dh35 million in 2022.

Waleed Al Mokarrab Al Muhairi, Chairman of Waha Cpital, said, “Waha Capital performed strongly in 2022, generating net profit of Dh449 million and a return on average equity of 10.1 percent. This is a result of the company’s ability to successfully navigate significant geopolitical instability and macroeconomic headwinds.”

“Despite the challenging market conditions, Waha Capital made excellent progress towards its long-term objectives in 2022, and the core businesses are now well-positioned for future success. The Public Markets business has maintained the exceptional track record of its flagship funds, while the Private Investments business successfully monetised mature assets and developed its pipeline of high-growth opportunities in favourable sectors. In addition, Waha Capital continued to attract third-party capital from institutional investors, with assets under management increasing by Dh696 million to total Dh6.54 billion by the end of the year.

“In 2023, Waha Capital will continue to operate pragmatically, leveraging its knowledge and network to deliver the growth and attractive returns that shareholders and investors have come to expect,” he added.

Ahmed Khalifa Al Mansoori, Chief Operating Officer, said, “Waha Capital demonstrated its resilience in 2022, particularly in the fourth quarter, in which net profit increased 23 percent year-on-year to Dh190 million.”

In 2022, he added, “Our Public Markets business delivered net profit of Dh425 million as its flagship equity and credit funds upheld their high standards, outperforming industry benchmarks. Through the effective deployment of capital in its Global Opportunities strategy and by crystalising value through the divestment of mature assets, the Private Investments business recorded net profit of Dh150 million in 2022. Waha Land successfully entered into a high-value transaction and reported a healthy net profit of Dh35 million for the year.”

• Business