Waha Capital reports net profit of Dhs407m

Waha Capital, an Abu Dhabi-listed investment management company, reported net profit of Dhs407 million for the first nine months of 2023, a 57% year-on-year increase, as its public funds outperformed their respective benchmarks and attracted significant inward investment.

The company recorded total operating income of Dhs679 million in the nine-month period, an increase of 54% from Dhs441 million a year earlier. The solid income growth was driven by the strong performance of Waha Investment, a wholly-owned asset management subsidiary, as its emerging markets funds continued to deliver attractive returns and increase fee income.

For the third quarter, Waha Capital reported net profit of Dhs89 million, compared to Dhs160 million a year earlier. Quarterly operating income was Dhs179 million, compared to Dhs217 million in the third quarter of 2022, reflecting volatility in global credit and equity markets driven by heightened macroeconomic uncertainty.

Meanwhile, the company continued to prudently manage costs, with third-quarter operating expenses remaining steady year-on-year at Dhs58 million. Finance costs increased in line with higher benchmark interest rates.

Waha Capital’s total assets under management stood at Dhs9.8 billion as of 30 September 2023, compared to Dhs6.5 billion a year earlier.

Waha Capital reported a 221% increase in net profit year-on-year to Dhs318 million for H1 2023 - equating to a return on equity of 12.6% - driven by healthy returns from its capital markets funds and higher fee income from managing third-party assets.

The company recorded total operating income of Dhs500 million in the first six months of 2023, an increase of 123% from Dhs224 million a year earlier. Income growth was primarily driven by the strong performance of Waha Investment, a wholly owned asset management subsidiary, as its emerging markets funds continued to deliver considerable returns and attract significant capital.